Update...

anyway, a general review

last friday despite the 700b bail out plan, DJ made a reverse move from +300 to a close of -200, partly due to spike in unemployment.
on the other hand, investors have lost confidence that this bail out is sustainable in the long run, very true considering that credit size stands at over 7 trillion usd.
the other point to take note is that big funds are going along the theme of selling on news, and this is common practice in the bear market.
Adding to the fire are issues in hypo real estate bailout in EU, they just cant sit together in 1 piece.

crude is experiencing weakness in price.
A common misconception is that there is a high correlation between crude price and your conglomerates like keppel corp or a company where many mistaken to have a high correlation is SPC.
Rather, the correlation lies in palm oil. A fall in crude to 90 will bring a palm to around 1900 range. So weakness in crude will only mean weakness to stocks like golden agri, indo agri, wilmar and first resource.

steel production in china is likely to take a cut of around 20%, with outlook gloomy for related company. expect weakness in steel prices.

Back on track in singapore, credit issues are pushing banks to move towards aggressive loan criteria and higher rates. High borrowing company especially those with high percentage of short term loans are likely to take a hit. Property counters will have difficulty getting loans, construction will face the same issues, whats makes it worst is the high capex for such industry. Anyway, take note if you are holding any company with such short borrowings issues. CS global is an example. Whats more, companies in the mist of expansion but have yet to finish funding are going to get hit...lookout for ferro.

the china milk issue is spreading, or rather the melanin issue. With S korea recalling some chocolate products, cant really remember the names, haha, you can bet on it that cocoa demand is going to fall.
take note of olam and noble.

yen/usd will likely strengthen as unwinding continues and fed rates likely taking a cut. FOMC tonight.

anyway, my trading blog is closed for classified postings.

enjoy, I am going back to work.

Heiwa

http://83heiwa83.blogspot.com/