Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Ride the Tiger with CD -- Ignore unavailable to you. Want to Upgrade?

To: Postman who wrote (104008)	1/24/2008 12:15:36 PM
From: Veteran98	Read Replies (1) \| Respond to of 314105

Interesting article today from Reuters. SELL-OFF ON EQUITY MARKETS OVERDONE Credit Suisse backs mining stocks Credit Suisse is advising investors to buy mining stocks, saying a sell-off on equity markets was overdone and that commodity prices are remaining strong. Posted: Wednesday , 23 Jan 2008 LONDON (Reuters) - Credit Suisse advised investors to buy mining stocks on Wednesday, saying a sell-off on equity markets was overdone and that commodity prices were remaining relatively strong. "Recent history shows that the commodity markets are a much better indicator of global growth than the equity markets," a research note said. "We think this sell-off is another false start and recommend investors buy the miners which have fallen on average 18 percent from their December highs." The note did not give recommendations for specific stocks. The investment bank's earnings-momentum indicator has only fallen 1.5 percent in the last week while commodity prices are holding up, it added. Copper prices have given up only 2 percent as inventories continue to fall on the London Metal Exchange. "This could be a sign that European and US consumers which have massively de-stocked are beginning to slowly return to the market." Coal prices remain firm and the bank recently upgraded its expectations for a price increase in iron ore contract negotiations to 55 percent from 35 percent. "Bad news is now fully priced in our view, and the longer commodity prices stay strong, the more likely we will see a significant bounce in the miners."