what are your shopping list ?

or are you shorting today ?

BullishTempo      ( Date: 24-Jan-2011 01:00) Posted: Hey Gaecia, Monday is usually a time for buying in, just like Friday is a time for selling. Monday opening could be tricky, Dow is up 49 points, S&P up 3 points, but Nasdaq is down 14 points, which means tech stocks aren't doing good. China interest rates expected to be raised late January or early February before CNY. Last week saw the STI heavily sold down, in the usually bullish month of January. Combining all the factors, I reckon a rebound for STI should happen early this week, ie. Monday or Tuesday or else it won't happen at all since the market will start to price-in the effect of the China interest rate hike by end this week again. The pricing-in has already started last week.  Take note that China interest rate hike has a bearish effect on commodity prices, because higher interest rate dampens demand for commodities and raw materials in general due to higher cost of borrowing and doing business. Not forgoing the fact that China is a big consumer for a great number of commodities. Which means Friday is gonna be a BEAR day this week in anticipation of the interest rate hike over the weekend again. Gaecia      ( Date: 24-Jan-2011 00:34) Posted: BT aura, are you snapping up anything come mon morning?

2011 is the year of inflation and interest rate increases.

Unlikely to be a too fantastic year compared to 2009.

But still likely to be a profitable year   

Just respect the influence the reports have on the general public.

As a rule :

When there is a negative analyst report, DON'T BUY

When there is a positive analyst report, DON'T SHORT

Simple rules. 

got paid by respective company for the report one.  read disclaimer carefully... ...

Hey Gaecia, Monday is usually a time for buying in, just like Friday is a time for selling.

Monday opening could be tricky, Dow is up 49 points, S&P up 3 points, but Nasdaq is down 14 points, which means tech stocks aren't doing good.

China interest rates expected to be raised late January or early February before CNY.

Last week saw the STI heavily sold down, in the usually bullish month of January.

Combining all the factors, I reckon a rebound for STI should happen early this week, ie. Monday or Tuesday or else it won't happen at all since the market will start to price-in the effect of the China interest rate hike by end this week again. The pricing-in has already started last week. 

Take note that China interest rate hike has a bearish effect on commodity prices, because higher interest rate dampens demand for commodities and raw materials in general due to higher cost of borrowing and doing business. Not forgoing the fact that China is a big consumer for a great number of commodities.

Which means Friday is gonna be a BEAR day this week in anticipation of the interest rate hike over the weekend again.

Gaecia      ( Date: 24-Jan-2011 00:34) Posted: BT aura, are you snapping up anything come mon morning?

Tags: Capitacommercial Trust | Capitamall Trust | Kim Eng

WRITTEN BY DOW JONES & CO, INC

FRIDAY, 21 JANUARY 2011 14:27

Share this  Digg  Del.icio.us  StumbleUpon  Netscape  Yahoo  Technorati  Googlize this  Facebook Export PDF Print E-mail Kim Eng reiterates CapitaMall Trust (C38U.SG) at a Buy with a DDM‐derived target of US$2.32 ($3.00) after the REIT Thursday declared a FY10 DPU of 9.24 Singapore cents on the back of 5.9% on-year growth in net property income. “With forward yields of at least 5.2% and rising, CMT could be an alternative inflation hedge,” the house says. It adds, like CapitaCommercial Trust (C61U.SG), CMT has a high cash position of US$712 million ($916.8 million).  “However, unlike CCT, we see visibility in the deployment of the cash. This will include the potential early redemption of Convertible Bonds amounting to $578 million, and the capex for the asset enhancement initiatives (AEI) for The Atrium, budgeted at $150 million.”    It adds, with the prospects of DPU boost in 2012 and 2013 following the completion of AEI works at JCube and The Atrium respectively, CMT is trading at attractive valuations. The REIT is flat at $1.89.

1. Singapore Week Ahead

Singapore stock market retreated sharply this week. Straits Times Index (STI) had its second consecutive weekly drop.

The excuse to sell the stock market this week was about China. It was a tale of monetary tightening, strong economic growth and possibly more monetary tightening. China announced an increase in bank reserve ratio by 50 basis points last Friday. This Thursday, China reported a strong GDP growth of 10.3% fuelling fear of future interest rate hike, given the also higher than targeted inflation. Stock markets in the region such as China, HongKong and Singapore reacted negatively.

Interest rate in China as well as countries around the world are all currently near historical low. Generally the start of a trend of rising interest rate should only affect stock market negatively in the short term. This should be the case currently. Hence outlook for stocks for the longer term should still be positive.

January is a seasonally positive month for stock market. The first week of this month was good with STI up by 2.2%. However market performance for the past two weeks was weak and 2011 year to date return for STI was pulled down to a measurable -0.2%. For investors betting on a seasonally positive month of January, next week may be an opportunity to buy.

In short, the strategy next week should be “buy on dips”. Any US market overnight weakness should provide investors an opportunity to buy stocks cheaper the following day.