is now a good time to buy shares?

[shark]

Shares are valued on the basis of interest rates using a method called net present value.

The lower the interest rate the higher the value of a share.
If interest rates go up the value of shares will fall.
If there is another crash the value of shares will fall

One would need to be able to price these risks really to justify investing in shares.

History has shown that all one needs is diversification and patience.

[seafoid]

Shares are valued on the basis of interest rates using a method called net present value.

The lower the interest rate the higher the value of a share.
If interest rates go up the value of shares will fall.
If there is another crash the value of shares will fall

One would need to be able to price these risks really to justify investing in shares.

History has shown that all one needs is diversification and patience.

You can also make money by buying shares when the price becomes attractive enough after it falls sufficiently.

[Ball Hopper]

When the general public rush in to buy, it usually signals a top in the market.

That would be these days...Dow closed 24,435.72 today...21,000 by mid-May according to bears.

[marty34]

Shares are valued on the basis of interest rates using a method called net present value.

The lower the interest rate the higher the value of a share.
If interest rates go up the value of shares will fall.
If there is another crash the value of shares will fall

One would need to be able to price these risks really to justify investing in shares.

History has shown that all one needs is diversification and patience.

...and money.

[Maroon Manc]

When the general public rush in to buy, it usually signals a top in the market.

That would be these days...Dow closed 24,435.72 today...21,000 by mid-May according to bears.

Sell in May as they say, I'm looking at getting back in and have seen some shares on my watch list like William Hill treble but certainly not tempted to get back in yet.

[omaghjoe]

When the general public rush in to buy, it usually signals a top in the market.

That would be these days...Dow closed 24,435.72 today...21,000 by mid-May according to bears.

Sell in May as they say, I'm looking at getting back in and have seen some shares on my watch list like William Hill treble but certainly not tempted to get back in yet.

Are you being ironic?

[shark]

Shares are valued on the basis of interest rates using a method called net present value.

The lower the interest rate the higher the value of a share.
If interest rates go up the value of shares will fall.
If there is another crash the value of shares will fall

One would need to be able to price these risks really to justify investing in shares.

History has shown that all one needs is diversification and patience.

...and money.

Ha, that's fair!

[OgraAnDun]

Shares are valued on the basis of interest rates using a method called net present value.

The lower the interest rate the higher the value of a share.
If interest rates go up the value of shares will fall.
If there is another crash the value of shares will fall

One would need to be able to price these risks really to justify investing in shares.

The valuation of a share in the first chapter of a text book would say the NPV of all future cash flows. The rest of the book would then go on to explain why it's a lot more complicated than that... in very simple terms, it all comes down to supply and demand at the end of the day. People have to park their money somewhere and with interest rates so low, stocks are one of the only places to get a decent return.

[marty34]

What way will house prices look in a few months or when this is all over?

[shark]

What way will house prices look in a few months or when this is all over?

Hard to say, but I can't imagine there will be a glut of supply. Demand will drop, but if supply does too then it may not have a huge effect on selling prices.
Rents could drop a fair bit though. Which in time could lead to more demand for purchasing, if renters are able to save more of their earnings.

[seafoid]

Shares are valued on the basis of interest rates using a method called net present value.

The lower the interest rate the higher the value of a share.
If interest rates go up the value of shares will fall.
If there is another crash the value of shares will fall

One would need to be able to price these risks really to justify investing in shares.

The valuation of a share in the first chapter of a text book would say the NPV of all future cash flows. The rest of the book would then go on to explain why it's a lot more complicated than that... in very simple terms, it all comes down to supply and demand at the end of the day. People have to park their money somewhere and with interest rates so low, stocks are one of the only places to get a decent return.

Check out share prices post QE. Revenues stagnant but huge prices rises.


Normally share prices grow with revenues  but for most listed companies revenues didnt grow much. Share prices grew through a mixture of lower interest rates, lavoffs, salary cuts and financial engineering including buybacks where debt replaces equity. QE provided share demand. The richest 1% own half os US shares. They got the QE money.

Now shares have far less equity. Equity absorbs losses. Debt does not.

If there is another crash like 08 shares are fucked. Because prices do not reflect reality. Equity is loss absorbinng. Debt is not.

[Dire Ear]

Where would you get reputable basic info. on investing?

[seafoid]

www.cnbc.com

[whitey]

Dollar cost average in over a 3 or 6 month period

[HiMucker]

Where would you get reputable basic info. on investing?

https://www.simplifyconsulting.co.uk/wp-content/uploads/2020/11/Novice-Investor-whitepaper-v1.0.pdf

See if that link works for you and pm me if it doesn't sure and I can send you the pdf. Its an easy simple short read and will save you a lot of money.
Money unshackled do some great podcasts and YouTube vids if you can find the time and not just related to stocks and shares.