Market Review

Purchse price index
This index has rise lesser then estimated and is giving the US market a good boost.
But this is likely to be due to fall in volatile food prices which might bring the
index back up next month.
Another more important index, the consumer price index will be released tomorrow.

STI
The market has been at a stand still for the past week waiting for directions to clear
before entering. The PPI and CPI are 2 important indexes that investors are waiting for.
Further more, the pause in midde east conflict has helped in bringing down oil prices
and boosting positive sentiments in the market.

As these data are all temporary, the market will remain cautious looking ahead.
Technically, the STI is expected to fall during the period of september and october
before a new rally bringing the STI off to a record high until 2008.

During this few months, invest cautiously, keep sufficient cash to snatch up cheap
stocks near the end of october when market is seen to catch a good bull.

Tomorrow's market is likely to open up at a gap but it might not be sustainable
as investors are also waiting for CPI to be reported. Overall, we can look forward
to a more bullish move in the STI until early-mid september before the next data
set is released.