Market Chat!

In this blog posting, Ultrabeast posted this issue to me..

• So isn't it times like now... world petrol price hike + bird flu + flood etc. the best time to increase our share portfolio...?

I believe this is an interesting issue for a lot of investors.... :)

Me? I really do not know about the best time.... so I could ony give you the following feeble answer... *blushes*

I do understand your point, for it's often said that one should always take advantage of a pessimistic market (err..like right now? correct ah?) to invest in the stock market, however it's often also said that one should also try to invest only when the market is dishing out cheap, cheap stock prices...which obviously is the tricky issue right now.... assessing the cheapness in the stock price.

And to answer this issue, one needs to understand the impact of the petrol prices on the profitability of the stock you are interested in buying. (bird flu? chicken stocks are lousy business to begin with, so isn't this a non issue?) If the earnings are badly affected, then what is cheap now, will look expensive later on.

And most important... i think... *blushes*.... is the interest rates dude... if the interest rates goes up more... err... don't you think that the money deposts will prove to be a serious competitor for one's investment money? (why put money in share market when the bank is offering better and safer returns for the moola?)

Or perhaps... wouldn't you want to wait for a better opportunity? Wait for the time when it's easier to win? Or as they say, swing only at them big fat pitches?

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Fuel increase..where the savings is gonna go (i think this is the main issue rather than 30sen per se) and the recent 3G awardees; a major damper for governance and transparency..translated to lower foreign interest? - from posekspres

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6th March 2005

Posted in today's Star papers ( advice from ... )

• Current market concerns include:
  Rising oil prices and interest rates
  Inflationary pressure on goods and services
  How well government-linked companies revamp
  Changes in monetary and fiscal policies
  Level of foreign direct investment and
  Strengthening of ringgit in relation to exports.

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If anyone has any views and opinions to share... i would gladly try to compile all views and opinions into this blog posting.