Further to my post yesterday about buying opportunities in stocks there has been further fall out in the markets due to continued fear over the economic situation. I'll reanalysed some of my positions and still feel that the long term market outlook is positive. The instability and stock volatility will be around for the short term but as mentioned before I'm not day trading. Any meaningful response to the debt crisis, which as I mentioned in other posts I believe will come through, should give the markets a shot in the arm. Thereafter the growth is likely to be much more steady with less volatility.
This shouldn't be construed as investment advice but banking stocks in particular have taken a hit and I think this is a buying opportunity. For example you can pick up RBS and Barclays stocks today for 22p and 151p respectively. Will be interesting to see where they are in 2 - 3 years time! Whilst liquidity is still tight the larger UK banks are generally maintaining their market share and the margins on lending activity are still very high.