Overall, this year doesn’t seem to be any better, and even 2-3 weeks of calm in July-August would be an “act of God”, said Valentin Ionescu.

The last week recovery was short-lived, it was only a rift in the downward trend, the markets being slightly encouraged by China’s refusal to sell the euro-bonds it held.

“We have already seen before what we’re seeing now. We have another credit squeeze, lending fell on lack of consumer confidence while institutions are cutting back on bond issuing, as buyers retreat. Investors should understand that markets are no longer relying on companies’ financial results, but on their credit availability, which practically controls the economic activity”, Valentin Ionescu told Wall-Street.

He compared the current situation with a hurricane, due to excessive volatility.

“A technical analysis of large markets shows a series of lower lows and lower highs and a deeply bearish sentiment in the market. The head and shoulders is obvious. This is why I prefer going short or very short. An intraday or over-the-night investment is the most indicated at this point, and only in the markets that allow high volume and low costs”, said Ionescu.

As for Romania, he continued, things don’t seem to find a clear direction in the near future.

“There are socioeconomic uncertainties that spook investors. Financial investment companies however remain interesting if the equity holding cap is lifted and Fondul Proprietatea”, he added.