Projected Asia Market

In my opinion, yesterday DJ drop 220 points due to: -

a) currency weak
b) due to demand slow
c) crisis on secondary morgate.

The free funds selling US dollar aggresively and turn buying asean/asia currency. These few weeks everyone also noted Thailand government very busy impose few method to stop upward on its own currency.

Based on the above, i porjected Taiwan share market can break 10,000 point to 10,500 points in this year. Another amrket is Singapore market can reach 4,000 points. These two market will ignore US DJ market turning weak because of: -

1) Interest rate low.
2) Japan and HK too close with DJ.
3) currency may achieved higher.
4) "Cross rate" may done by fund manager in this 2 type currency.
5) Taiwan enjoying good yield from investing in China and tansfer back the profit back to Taiwan.
6) Singapore enjoying the big amount on trade surplus from India and free finance market environment bring attractive to funds manager to play Asean currency.

Written by Kacau on 25 july 2007.