Neil Parker Quotations

It's a done deal. The ECB and Bank of England will leave interest rates on hold.

There does seem to be this dichotomy of views with some saying the equity markets are still undervalued when others are saying that is not the case.

This will not put a rate cut back on the map, but it does remove any prospects of rates rising.

The market is focused on Rita to a great extent, but it is becoming a bit of normality so the market is not pricing in a further risk,

I do not think stocks should have a bid premium built into them. That assumes that there is a good reason to buy them.

The Fed made it clear any impact from the hurricane would be temporary. If they don't stop at Katrina why should they stop at Rita? Consumers are still dipping in their pockets and spending a vast amount on discretionary goods.

The one thing that has worked against the equity market pushing higher is that the UK bond market has been hammered, and yields have subsequently risen. Before it was a one-way bet, but now people are having to be more thoughtful.

What does it tell us? It tells us the market is not convinced. The market is trying to find its feet. Does it want another leg higher, or are we going to have a correction down?

They certainly have the resources to do it. They do have to consider diversification. It does make sense for them to look at it.

I am waiting for the (FTSE 100) hiccup -- that could be between 3-500 points -- 5,400 would look like a reasonable level to start buying again.