Wednesday, 8 January 2014

STI is giving a big discount to buy in!

Dear Friends,

I know that in the recent days, STI has been dropping from a high of 3187 to today close of 3120. Some of you may ask, is this another fall or weakness in the Singapore market.

My view is that this is a tremendous opportunity to buy into singapore stocks! The reason for this fall is due to OCBC. News are that they are seeking to acquire another company. And this is normally bad for the stock in the short term. It is normal that OCBC correct quite a bit recently. In fact I think once OCBC stabilise, I do think OCBC is the best of the 3 banking companies to invest in.

Shortists of Acquisition companies are are generally short sighted. So take this fall to look at OCBC once the price stabilises.

And do not fret about the market!

This may be the best angbao for you to buy into this short term drop! There is no fundamental reason for this drop! And I still feel that singapore is about to go into a good run.

Be prepared for it.

Good luck and Huat ah!

Rgds
Daniel
www.danielloh.com

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