Small Cap Value Report (Fri 24 August 2018) - Ageing Bull, FUL, PEB, AIR, BOOT

Good morning! A few bits to look at today and then we can go enjoy the bank holiday weekend.

Macro MusingsFulham Shore (LON:FUL)Pebble Beach Systems (LON:PEB)Air Partner (LON:AIR)Henry Boot (LON:BOOT)

Macro Musings - Ageing Bull

Firstly, there are a couple of macro themes on my mind today. If this isn't your thing, just skip ahead to the next sections! When the RNS feed is quiet, I often prefer to focus on the bigger picture.

As of Wednesday, US markets achieved their longest ever bull market, i.e. from March 2009 to the present day. This entire period has passed without a 20% correction.

The previous longest bull market was from 1990 to 2000, and ended in misery for all sorts of investors who got caught up in the dotcom rush.

The Samp;P Index enjoyed a P/E rating of between 25x and 30x just before that crash, way above its historical average.

Today, however, the Samp;P Index is at a much more modest rating of 18x. This is not extreme compared to the long-term average...