10-15-2014, 01:34 PM
Thanks for the thorough explanation R2R :-)
(10-15-2014, 12:30 PM)Roadmap2Retire Wrote: Heres my reasoning.
Its a combination of reasons - and the the result of broad market selloff. The Canadian market is technically in correction mode, having fallen more than 10% from the highs. Canada is a resource-rich economy and with the current pressure in oil and energy markets, Canada's economy is/will suffer. Moreover, the Canadian dollar has sort of become a petrodollar over the last few years and because of the fall in oil prices - has resulted in the fall of the Loonie (Canadian dollar). This will affect financial statements for all internationally exposed corporations in the coming quarters and that includes the banks.
Whats a good price to get in? I dont know. Where and when do you want to catch the falling knife? But the correction is good news for long term investors to lock in some decent yields.