I am penning my thoughts here, in case I would want to refer to them a months later. This would prevent me from recalling the wrong thoughts.
First, the market is getting more dual-tracked. While I guess that both the blue chips and the small stocks would dive in coming week (or weeks), I can see some value in the small stocks. So much so that I am currently fully invested in the market. I have tried to see whether I can sell any of my position, but somehow, I find my positions too inexpensive to be sold. Maybe I may sell if I can spot much better bargains in the coming weeks.
Second, I see that some of the high-flying China stocks may be in for a bad time due to poorer than expected results. Hopefully, this does not happen to the China stocks that I hold. Anyway, if it happens to the stocks that I hold, the damage may be contained, given that these tend to be low PE stocks. (Note: A low PE ratio alone may not imply positve expected returns.)
Third, I am guessing that the broader market, STI, is in for more volatile sessions due to the subprime negativity. Up to now, I am still wondering how the subprime can affect non-financial firms (ie China firms).
Subscribe to:
Post Comments (Atom)
80% of CapitaLand China Trust debts are in SGD
Earlier, I noted that Chinese reits have debts in non-RMB ( link ). CapitaLand China Trust's borrowings are mostly in non-RMB too. In f...
-
I have discovered that I have made a blunder in my valuation of Hongwei and Contel. That is, I did not take into account of their newly issu...
-
Well, I guess I may have done it again. I may have succumbed to the falling market and my over-cautious mood last week. I have sold C&G,...
-
Year % Returns STI (Excl Dividends) Remarks 2004 6% 2005 35% Returns/Declines boosted with slight leverage. 2008: Great Recession 2006 130...
No comments:
Post a Comment