PETALING JAYA: The sharp market pullback this week caught many traders by surprise but analysts feel that the uptrend remains intact in the longer term.
“Valuations were too rich and a correction is healthy,” Kenanga Research head of research Yeonzon Yeow said.
The index had climbed 30% since the middle of March before correction set in earlier this week. From a peak of 1,095.91 points on June 12, the KL Composite Index (KLCI) dropped to a low of 1,052.48 on Thursday.
“I think there’s still about 10% to 15% of correction to go from the peak,” Yeow said.
“When we start seeing real economic recovery after the third quarter of this year and fresh catalysts come onstream, the market will react positively.”
Areca Capital Sdn Bhd chief executive officer Danny Wong also remains bullish on the market in the medium to longer term. “I actually think this is the start of a bull run and investors should accumulate on weakness,” he said.
“Asia will take the lead in the next couple of years. Compared with the pre-Asian financial crisis days, our gearing levels are lower, earnings stronger and we have a more resilient banking system.
“Already, we are near the bottom or off bottom, of an economic recovery.
“As equity recovery generally moves six months ahead of an economic recovery, I would say we are at the beginning of a bull run,” Wong said.
Aberdeen Asset Management Sdn Bhd managing director Gerald Ambrose concurs. “With interest rates down all over the world, money tends to find its way to the most attractive investment and to me, that’s Asia,” he said.
However, he feels that the KLCI is going to “wobble around in this trading range for a very long time”.
“I don’t feel a soaring confidence about the West; my gut feel is that momentum has gone there, and if we are going to be following them, it’s going to be difficult,” Ambrose said. “Certain quarters have priced in a full recovery there (but), I don’t believe in that.”
Pong Teng Siew, head of research at Jupiter Securities, believes the liquidity, which had been driving the market up in the recent rally, has reached its tail-end.
“The recent rally in Malaysia was supported primarily by domestic funds. The next peak might not happen until later this year as foreign funds gradually move into emerging markets following the easing of the interest rates there,” he said.
Source : The Star Saturday June 20, 2009
By Yvonne Tan
east43street:
Yes it is a heavy correction. After correcting downward, it will start to correct upward. There are so many companies so cheap out there. It is still not too late to own a good pick.
Saturday, 20 June 2009
Wednesday, 8 April 2009
MY GOOD FRIEND AND HIS ADOPTED DAUGHTER
A long lost friend visited me yesterday. We became friend a long time ago, way back in 1989.
Yes, it was twenty years ago.
He still looked the same. A same person, except that he is now in a different stature. He is going to a country representing the King, the SPB Yang DiPertuan Agong. He is a new Ambassador of Malaysia to that country.
He had five passports in his hand and he showed me one of them, a brown covered passport. I took it and realised that it was a travel document called Certificate of Identity, belonged to a pretty five years old girl. It was actually not a passport, but can be used to travel in-leiu of passport.
He told me that he had adopted the girl and the girl cannot be issued a proper passport because she is stateless. Meaning that she is not a citizen of Malaysia and also not a citizen of any other country. Her mother, an Indonesian lady abandoned her five days after gave birth to her in Malaysia. Because she was abandoned right after birth, no one can register her birth in the Indosesian Embassy to claim her citizenship as the right to register is only accorded to her maternal parents, who had already disappeared.
After hearing the story, I knew that my friend is taking a huge responsibility. Not only he will look after the girl's welfare, he would also have to accept the girl as his own. When she grows up, she will definitely ask a lot of questions about her identity as she is diferent from other siblings. Any wrong words from the family members would have a huge consequences.
I asked a quite important question to my friend. Would he take the girl as his own and he said yes. I asked him another question, if he considered the girl as his own, is he going to distribute his asset and property fairly between his children including the adopted girl knowing it very well that the girl is not entitled even a single cent from his estate. He told me that he knows it very well that the girl would not be entitled of anything in the event of his death under the Islamic Law of the country. But he had already vowed that the girl is one of his own. To make sure the girl would get a fair share of his estate, he transfered one of his plots of land in Kedah under the adopted girl's name and the land is left under a trustee until the girl reached the age to hold the property. He told me that if he dies tomorrow, he will die happy because he did not abandon the girl, not just like the girl's real mother abandoned her.
The law may not recognised the girl as his own child, but his action would secure her welfare and she would have no doubt as being part of the family.
I was amazed. Not everybody have the same heart as my friend.
I wish him well for his new ambassadorship. May god bless him.
Yes, it was twenty years ago.
He still looked the same. A same person, except that he is now in a different stature. He is going to a country representing the King, the SPB Yang DiPertuan Agong. He is a new Ambassador of Malaysia to that country.
He had five passports in his hand and he showed me one of them, a brown covered passport. I took it and realised that it was a travel document called Certificate of Identity, belonged to a pretty five years old girl. It was actually not a passport, but can be used to travel in-leiu of passport.
He told me that he had adopted the girl and the girl cannot be issued a proper passport because she is stateless. Meaning that she is not a citizen of Malaysia and also not a citizen of any other country. Her mother, an Indonesian lady abandoned her five days after gave birth to her in Malaysia. Because she was abandoned right after birth, no one can register her birth in the Indosesian Embassy to claim her citizenship as the right to register is only accorded to her maternal parents, who had already disappeared.
After hearing the story, I knew that my friend is taking a huge responsibility. Not only he will look after the girl's welfare, he would also have to accept the girl as his own. When she grows up, she will definitely ask a lot of questions about her identity as she is diferent from other siblings. Any wrong words from the family members would have a huge consequences.
I asked a quite important question to my friend. Would he take the girl as his own and he said yes. I asked him another question, if he considered the girl as his own, is he going to distribute his asset and property fairly between his children including the adopted girl knowing it very well that the girl is not entitled even a single cent from his estate. He told me that he knows it very well that the girl would not be entitled of anything in the event of his death under the Islamic Law of the country. But he had already vowed that the girl is one of his own. To make sure the girl would get a fair share of his estate, he transfered one of his plots of land in Kedah under the adopted girl's name and the land is left under a trustee until the girl reached the age to hold the property. He told me that if he dies tomorrow, he will die happy because he did not abandon the girl, not just like the girl's real mother abandoned her.
The law may not recognised the girl as his own child, but his action would secure her welfare and she would have no doubt as being part of the family.
I was amazed. Not everybody have the same heart as my friend.
I wish him well for his new ambassadorship. May god bless him.
Monday, 23 March 2009
BANDWIDTH SPEED TEST
Today is probably one of the best day for me. I switched on my computer, go to the internet and I noticed the speed is a bit fast. I go to the Bandwidth Place Speed Test, click the test and I found out that my speed today is 780 kilobits per second. Wow! The fastest since I got home 6 months ago.
I normally got 175 kilobits per second for the suppossedly 1 MB bandwidth that I paid monthly. When opening the account, they told me that I should get at least 800 kilobits per second. I gave up complaining to Streamyx Service Centre and adopted a wait and see attitude. Just to see how long they would resolve it. It took them 3 months. Repeat 3 months. Bravo TM Net. I almost gave up posting a new entry in this blog.
By the way, when I was in London, the minimum speed was 1.5MB per second, and I used to get 2MB per second.
That was then.
I normally got 175 kilobits per second for the suppossedly 1 MB bandwidth that I paid monthly. When opening the account, they told me that I should get at least 800 kilobits per second. I gave up complaining to Streamyx Service Centre and adopted a wait and see attitude. Just to see how long they would resolve it. It took them 3 months. Repeat 3 months. Bravo TM Net. I almost gave up posting a new entry in this blog.
By the way, when I was in London, the minimum speed was 1.5MB per second, and I used to get 2MB per second.
That was then.
Thursday, 1 January 2009
WISHING YOU HAPPY NEW YEAR 2009
Frau Shin, Fräulein Rotkopf, Fräulein Lilz, Ketot (the street cat that we brought home) and me wish all visitors and commentors of this blog a very Happy New Year 2009. May year 2009 be ours.
To all bloggers linked to this site, I wish you all a prosperous 2009.
To all bloggers linked to this site, I wish you all a prosperous 2009.
Ketot in his own world
Sunday, 14 December 2008
INTERNET CONNECTION FINALLY..... PHEW..
After 3 months without internet at home, I finally got the connection yesterday, after fighting with the streamyx technical support for 3 previous sleepless nights. I collected a dubious looking modem from their agent's shop and I couldn't connect to the internet. The technical support when called, kept on blaming my notebook which forced me to switch to my daughter's computer and yet still no connection. I told them that there must be something wrong with the modem for the last 3 nights but they insisted that the modem was okay because 'the link light was stable'. I finally shouted to them on the fourth night that their modem was made in Puchong and I wanted a replacement or else. They sent me a new modem yesterday and when connected, I got my internet straight away. Bravo streamyx for making my life and I believe others also, difficult.
With the internet connection working, I hope I will be able to update regularly, I hope.
With the internet connection working, I hope I will be able to update regularly, I hope.
Tuesday, 7 October 2008
BETWEEN AUTOCRATIC AND NOT UP TO THE STANDARD
I had short conversation with a few old friends during tea break today. This one particular friend had been praising the current PM for allowing his ministers to speak out of their mind so freely unlike during the 22 years reign of PM Mahathir. He said PM Mahathir had run his cabinet ministers so autocraticly that nobody were allowed to speak.
Hmmm.... this particular friend must be a true believer of Malaysiakini, a convert of Karpalism or idolising the erected Anwar's giant cutout statue in Batu Caves.
Please bear in mind that during PM Mahathir reign, non of his cabinet ministers ever come close to his standard. During the cabinet meetings, most of them couldn't answer the questions thrown by Mahathir to them. They couldn't speak up because either they were not prepared of they were caught wrong footed.
Those days when Singapore was still in the Federation, there were 8 maverick MPs from Singapore. They were very smart and very sharp, and of course one of them was Lee Kuan Yew. The only MPs that can argue with them were Dr. Mahathir and Dr. Ismail (the late Tun Dr. Ismail).
Ask if any of the present cabinet ministers to be at par with Dr. Mahathir, Dr. Ismail and Lee Kuan Yew. The answer is none.
So, if you could not even come close to the standard of Tun Dr. Mahathir, don't blame him if you could not speak up your mind to him.
Hmmm.... this particular friend must be a true believer of Malaysiakini, a convert of Karpalism or idolising the erected Anwar's giant cutout statue in Batu Caves.
Please bear in mind that during PM Mahathir reign, non of his cabinet ministers ever come close to his standard. During the cabinet meetings, most of them couldn't answer the questions thrown by Mahathir to them. They couldn't speak up because either they were not prepared of they were caught wrong footed.
Those days when Singapore was still in the Federation, there were 8 maverick MPs from Singapore. They were very smart and very sharp, and of course one of them was Lee Kuan Yew. The only MPs that can argue with them were Dr. Mahathir and Dr. Ismail (the late Tun Dr. Ismail).
Ask if any of the present cabinet ministers to be at par with Dr. Mahathir, Dr. Ismail and Lee Kuan Yew. The answer is none.
So, if you could not even come close to the standard of Tun Dr. Mahathir, don't blame him if you could not speak up your mind to him.
Monday, 22 September 2008
LOOSE ENDS
I am already back in KL for good and it is already for more than a week now. What a hectic life. It started with getting the children to school immediately a day after touched down while staying in a hotel for almost a week. Followed by searching for a house to rent in a few different locations. Fighting with traffics. Getting lost on the road (this is the worst part). Setting up phone and utilities accounts. Fasting month. All in all I have lost more than 5 kg. Not bad at all.
Now for the loose ends.
1. September 16 Just Passed By
The famous 'Black-Eyed September' ten years ago is not being remembered at all. September 16, 2008 just passed without being noticed. The so called new government is not happening. His credibility is tarnished. Has he got the froggy MPs? Yes, I believe he got the names. But just the names. Has he got the signed declaration by these MPs? The answer is of course no. Has he got the signed declarations, he would have paraded them and rally in a big way to the parliament and the King. Now he is in a face saving mode. Plan number one, request the PM to convene parliament emergency sitting, to put forward the motion of no confidence to the PM himself. What a joke. Can you imagine the PM is calling the parliament's emergency sitting to remove himself.
Plan number two to go to the King. This is the biggest face saving tactic. Of course we can expect the King to advise him not to go ahead with his plan for sake of national interest. He will play this to his advantage. He will heed to the King's advise and will not to go ahead with his plan in the name of full respect to the King. His face is saved, hoping that nobody would notice.
Just wait and see.
2. The World's Financial Crisis
The new Finance Minister declared that the re-pegging of the Ringgit is not necessary at the moment. He added that the Malaysian economy is resilient and has a little exposure to the US subprime financial crisis. This is quite true due to the fact that Malaysian banks unllike Singapore, do not practice selling and re-selling over and over again the mortgage papers, letters of guarantee, junk bonds and a lot more financial derivatives which became cancerous to the US financial system (imagine selling and re-selling the same papers for so many times, it is just like a 'Pak Man Telo' or 'Labu Peram' get rich schemes) . Although worried of the domino effect to the Malaysian economy, Tun Mahathir must be laughing to the US right now because he had predicted the scenario much earlier, but nobody bother to listen to him.
Successful US technologies like Microsoft, HP and many more are buying back their stock in a big way. Microsoft is spending US$40 billions for this buyback scheme. Good for them as they are buying back their stock at the low price at present. They are actually protecting their interest. Successful Malaysian companies should do the same as their counters are traded so cheap in the KLSE. For those who has cash, I think this is the time to buy these oversold shares in the KLSE. Most good counters are traded more than 50% below their actual value.
Now for the loose ends.
1. September 16 Just Passed By
The famous 'Black-Eyed September' ten years ago is not being remembered at all. September 16, 2008 just passed without being noticed. The so called new government is not happening. His credibility is tarnished. Has he got the froggy MPs? Yes, I believe he got the names. But just the names. Has he got the signed declaration by these MPs? The answer is of course no. Has he got the signed declarations, he would have paraded them and rally in a big way to the parliament and the King. Now he is in a face saving mode. Plan number one, request the PM to convene parliament emergency sitting, to put forward the motion of no confidence to the PM himself. What a joke. Can you imagine the PM is calling the parliament's emergency sitting to remove himself.
Plan number two to go to the King. This is the biggest face saving tactic. Of course we can expect the King to advise him not to go ahead with his plan for sake of national interest. He will play this to his advantage. He will heed to the King's advise and will not to go ahead with his plan in the name of full respect to the King. His face is saved, hoping that nobody would notice.
Just wait and see.
2. The World's Financial Crisis
The new Finance Minister declared that the re-pegging of the Ringgit is not necessary at the moment. He added that the Malaysian economy is resilient and has a little exposure to the US subprime financial crisis. This is quite true due to the fact that Malaysian banks unllike Singapore, do not practice selling and re-selling over and over again the mortgage papers, letters of guarantee, junk bonds and a lot more financial derivatives which became cancerous to the US financial system (imagine selling and re-selling the same papers for so many times, it is just like a 'Pak Man Telo' or 'Labu Peram' get rich schemes) . Although worried of the domino effect to the Malaysian economy, Tun Mahathir must be laughing to the US right now because he had predicted the scenario much earlier, but nobody bother to listen to him.
Successful US technologies like Microsoft, HP and many more are buying back their stock in a big way. Microsoft is spending US$40 billions for this buyback scheme. Good for them as they are buying back their stock at the low price at present. They are actually protecting their interest. Successful Malaysian companies should do the same as their counters are traded so cheap in the KLSE. For those who has cash, I think this is the time to buy these oversold shares in the KLSE. Most good counters are traded more than 50% below their actual value.
Subscribe to:
Posts (Atom)
