Suddenly, there’s weakness on the FTSE front with warnings of ‘W’ shaped recoveries and the expectation of a bumpy ride throughout the coming months.
Elsewhere, BA are spreading fear in their attempt to feed from the tax payer begging bowl.
I couldn’t care if BA survive or not. They are a private enterprise and shouldn’t get government funding. They have always had the worst attitude, with their cabin staff being old and jaded. Try Singapore Airlines, or Cathay. You’ll see the difference.
But all is not gloom.
Interestingly, the Council of Mortgage Lenders advise that less mortgages are in arrears. This will surely help to limit losses in Lloyds’ mortgage portfolio a.k.a. the HBOS self certification mortgage portfolio. There was also talk of Lloyds selling assets of over 100 billion, possibly the very same mortgages. If these things happen, and the HBOS mortgage portfolio is improving not deteriorating, the future will be a whole lot brighter for the black horse.
Personally, I have set my mortgage capital repayments to the highest I have ever repayed, and I am sure many others are doing the same in these tough times. If others are like minded, the deposit side of the balance sheet should be recovering.
Downside risks are defaults on credit cards and unsecured personal loans.
So, I’m going to load up on Lloyds again in the weakness. Bought some more at 67.