1. JSH 500US$ +0.290
2. JMH 400US$ +0.280
3. F&N +0.130
4. CityDev +0.060
5. SGX +0.030
The top 5 loser component stocks were :-
1. Jardine C&C -0.790
2. KepCorp -0.190
3. DBS -0.120
4. UOB -0.080
5. SembCorp -0.060
US markets fell at least 0.6% yesterday night after one of the Fed non-voting member came out to rule out possible QE due to improving economic situation. Asian bourses taking the cue were all in the red. Nikkei -1.17%, SSE -0.99% and HSI -1.25%. STI outperformed regional bourses with just a drop of 0.19% in slight thin volume and only 9 of the 30 index stocks managed to register positive closing.
Well as mentioned, QE is just a "feel good" effect if launches and effectiveness to US economy is a big big big question mark. When investors heard of no QE, all starting to sell down. This is totally irrational and illogical. Nevertheless if the selling continues due to this type of nonsensical sentiment, this will be good for long term investors who can buy on dip and on cheaper valuation.
Europe side the consensus was Greece to remain in Euro but continue the reform. Actual detail still unknown as to whether the 2 years extension will it be granted or will there be a concession or compromise when coming to this.
A block trade in F&N at $8.60 today divert some of the focus from global events. Speculation was that that could be ThaiBev who bought those shares and thereby increasing its stake in F&N to possible 29.9%. As the APB saga going on, the only beneficial will be to those long term investors of F&N and APB. Lesson learns was that it is never wrong to be long term investors, just need patience and time to see the ultimate rewards. For those short-term traders who somehow bought F&N cheap in 2009 but sold off already, TOO BAD !!!
Though market was on a selling mode, look carefully, selective stocks have hit new 52-week high today. That probably majority will be missed out noticing it as they were just focusing and guessing whether STI at 3,040 can hold or not ( all thanks to analysts who probably have nothing to write to churn reports after earning season was over ). Focus on the wrong thing will miss the right thing. Stress again, market correction from October to December, be sharp to pick on fundamental strong stocks on the cheap.
