Aug-30 High Yield Picks

PCU
DSX
PFE/LLY

I think all the stocks have good long term potential, while you can have good return on the dividend.

Aug-30 Time to catch a rebound

Now we have a possibility to head to 12100-12200 area to complete this rebound from previous low. For reasons below:

1. No major bad news ahead in short term.
2. Low forward PE for major stocks except banks.
3. Low commodity price.

After this rebound, the picture is still vague and I tend to below another test to low is possible. As the consumption of energy and gold will gradually rise in October, we should have higher commodity price and inflation. Dollar may drop again.

Aug-26 Stock may head to the previous low

I doubt if previous low could hold.

I tend to believe there will be another deep diving before the market gradually walking out of this credit trouble. Most bank will turn to profitable in 2009, this may imply the first quarter of 2009 will be still gloomy while we will have better second half of 2009. The stock market may show signs of recovery around beginning next year.

The commodity price may rebound a bit and dive again to empty the space for next slow bull market.

Gradually accumulating Asian ETFs is a good strategy - I am doing this now and will continue to buy Hong Kong and China funds until mid-2009.

As I mentioned months ago, the clean energy fund looks really nice. I hope people can hold it.

Aug-22 Time to load Gold?

Gold should have its time after September due to annual cyclic, while the recent price drop did provide sufficient space for the price to rise. As we can see easily that the US housing market is not going to stable until mid next year, therefore the economic won't be better until later next year.

There is a lot of signs that the housing market in Asia is going to correction as well. Investors in Shanghai and Singapore are selling their apartments to lock profits but they find it quite difficult to sell it high. Singapore might be better but most people think the housing price will drop in the next 1-2 years. A real estate guru here also suggested me to buy apartments after 1-2 years when the price hit the bottom.

Currently, holding Gold will be safest way to invest money to my opinion. Other commodities are also good to have.

Aug-15 Fund Investment

Just let you know that I just put some money into my long term investment account and bought an interesting fund:

• Shenton Twin City Fund

This is a Singaporean fund that invests in two cities, Singapore and Hong Hong. If you can't buy this fund, no problem. I think Hong Kong fund also works. I really like to buy low, when everything is low, when people keeping selling.

Aug-06 Recap market

Let me quickly recall my questions mentioned in one of recent emails: whether this market is going down and commodities are still rising, or the other way around.

 

For recent market, we can easily find out the answer is commodity faces a big correction. But please understand this is not a bear market for commodities. The only way to save the economic is to have lower commodity price with low rate. I see it may happen very soon.

 

The market may try several times on starting another bull market, therefore many chances will be seen in the future. Normally in bull market, commodity price will also rise, just like what we have seen from 2002-2007.

 

In September, commodity may rebound significantly, such as gold and food, as we still face global food shortage and price hike... 

 

Current strategy could be put some emerging market fund into your IRA for long term purpose. For short term, please consider stocks like NOK, NVO, CN.