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Buying the dip a distant thought as pessimism grips the market

The sell-off is feeding on itself and creating fears of a global recession among investors.

OVERSOLD: Some believe that the Japanese equity market is basically trading at near record-low valuation parameters even if it is assumed that earnings are going to be declining over the next 12 months.


SHANE Oliver is among investors who see things getting worse before they get better. The head of investment strategy in Sydney at AMP Capital Investors Ltd, which oversees about US$120 billion, says Asian stocks may drop another 10 per cent. Shares are already at a 31/2-year low