tag:blogger.com,1999:blog-1907231003206534428.post3970430050934824435..comments2009-10-15T22:32:41.861+08:00Kayhttp://www.blogger.com/profile/10880809899222016666noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-1907231003206534428.post-34469698622826585672009-10-15T22:32:41.861+08:002009-10-15T22:32:41.861+08:00Hi Musicwhiz,<br /><br />I share your view that companies need time to rebuild their balance sheets and kick start their business engines back to normality first. Besides, we have not seen that the earnings of the companies have returned to normalcy yet.<br /><br />I do noticed that there is one common theme that often props up in financial news and that is kind of worrying. And this theme is that Asia is seen to be leading the next revival for the financial markets. As such, we can see that the Asian stock markets had a remarkable recovery so far and they are outperforming the US stock market by a significant amount. This is a worrying trend to me since this can means that there can be some amount of irrational optimism by investors who are buying into this theme at work. On the other hand, this can also be an opportunity since the US market is still relatively undervalued. As such, I will not be too surprised if STI can hit 3900 within the next 2 years.<br /><br />KayKayhttp://www.blogger.com/profile/10880809899222016666noreply@blogger.comtag:blogger.com,1999:blog-1907231003206534428.post-68506662847797889592009-10-15T01:05:41.381+08:002009-10-15T01:05:41.381+08:00It&#39;s my belief STI will need at least 4-5 years to regain its previous peak of 3,900. Since this peak was reached in Oct 2007, this would imply at least Oct 2011 or beyond. This is because companies need time to rebuild their Balance Sheets and kick-start their business engines back to normality first.<br /><br />Cheers,<br />MusicwhizMusicwhizhttp://www.blogger.com/profile/10950754156386935254noreply@blogger.com