The market correction finally comes. Its a good time for investment consolidation.
Firstly, share with you why this correction comes:
1) There are rumours that Beijing may levy a 20% capital gains tax on stock investments in bid to prevent market from overheating. This sparks a 9% decline in the Chinese Stock Market
This decline spread to other financial markets especially those in Asia
2) It is investors' psychological wants. There was fear when market rise too fast. Big players are probably manupulating prices to spark more fears.
3) Investors are just finding a chance to correct the market. It is not a sign of the bear market.
Why I say its a good time to consolidate some funds now?
1) The rise in market is well supported by earning reports and projected growth
2) Most stocks market in the region are not expensive or over-valued now
3) The recent sell-off is largely due to sentiments
What are you waiting for? Find a chance to invest...
Thursday, March 1, 2007
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment