The US just hit the 1997s low and the Asia market are being hit badly as I typed this email. The US market for Dow is expected to hit 6,500 to 7,000 before stablizing. That's good news as this indicate that the upturn will come earlier than expected, as I have been expected this drop maybe in april but it has happened now.
The asia emerging market, best represented by hong kong, it nearing the breeching point to go lower. It will depend on today performance. However, even China influence, probably HSI will hit the old low before rebounding again.
For now, we can move some capital into the market to capitalize on the new lows. The frequency of movement probably has to be hastened as the market recovery may be nearer than I thought. Commodities and BRIC economies are still the best sectors to position themselves for the recovery. Banking stocks and high yield bonds will have extremely high potential given their extremely depressed level. These are our secondary candidates for higher returns once the market starts to recover.
Warmest Regards,
Warmest Regards,
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