STI Down 70 points

[TracyTan866]

Cut semb ind? Already so low price. Below NAV some more. I am OK to hold few years.

I think even I keep cash. Cut loss and buy. I may buy wrong counter also. Sigh.

If you can hold your portfolio for a few years, then you are ok. No need to be stressed. If the shares do not go up, just hold them and collect dividends. Sell only when you make

 

[TracyTan866]

tracy, what do you think about ocbc and M1?

I think ocbc and M1 are good shares to have. ocbc is touted to be SG's best bank

 

[TracyTan866]

Well. If uob, dbs and ocbc. I prefer dbs.
If m1 , singtel and starhub. I prefer singtel.

I have dbs. Ocbc and singtel.

Is OK to hold 3 bank. 3 are quite strong.
But telecom business. I think singtel doing better among the three.

yes, any of the three banks are good. if can afford, good to diversify and hold all three banks

 

[TracyTan866]

Buying China stocks is like, playing the "see gore luck" games they used to have in the back lanes, in the past...where they have 'players' winning from the banker to attract attention, you place your bet ( investment for long term), you will win a bit....but, the ending you know right....

I think china stocks is very much like gambling. hi risk hi returns. but a lot of uncertainty

 

[MovieStar]

http://www.channelnewsasia.com/news/business/international/china-cuts-interest-rates/2075360.html

China cuts interest rates by 0.25 percentage points: Central bank
China's central bank on Tuesday cut its benchmark interest rates and the amount of cash banks must keep on hand, the latest stimulus aimed at boosting the world's second-largest economy as it battles a collapse in share prices.

BEIJING: China's central bank on Tuesday (Aug 25) cut its benchmark interest rates and the amount of cash banks must keep on hand, the latest stimulus aimed at boosting the world's second-largest economy as it battles a collapse in share prices.

The People's Bank of China (PBoC) announced on its website that it was reducing lending and deposit interest rates by 0.25 percentage points each and its reserve requirement ratio (RRR) by 0.50 percentage points. The moves take effect Wednesday, it said, and follow similar tandem cuts in late June.

China's "economic growth rate remains under pressure", the PBoC said in a statement, adding the cuts were meant in part to "support the real economy to continue to develop healthily".

It has now cut benchmark interest rates five times since November as authorities try to head off a too sharp deceleration in economic growth.

The lending rate was cut to 4.60 per cent while the deposit rate was reduced to 1.75 per cent, the bank said.

Reducing the RRR is also a stimulatory measure as it increases the amount of money banks can lend, so can boost economic activity.

China's plunging share markets and rising concerns overseas about its growth outlook have spurred a global rout in equity markets amid concerns the world economy could suffer if China's weakens too precipitously.

"The cuts in interest rates and the reserve requirement ratio are a reasonable and necessary step taken by the government," Chen Jiahe, chief strategist at Cinda Securities, told AFP.

"On the one hand it can support the real economy. On the other hand, it's positive for the capital markets."

Chinese share prices collapsed in mid-June after a year-long debt-fuelled rally and while a massive government support programme provided a temporary boost, panic selling has set in again.

China is a key driver of the global economy and even though expansions have been steadily slowing in recent years, concern has intensified that the situation is worse than the country's official data show.

Growth in China's gross domestic product (GDP) recorded its worst performance in nearly a quarter century last year, expanding 7.4 per cent. Results for the first and second quarters of this year showed growth slipped to 7.0 per cent.

The 7.0 per cent GDP growth figure for the April-June quarter - which matched the government's official target of "about 7.0 per cent" - surprised economists given that various data components during the period had been generally weak.

The target figure, announced in March, was a reduction from last year's objective of about 7.5 per cent, and was seen by economists as official recognition of the need for slower growth.

China has long faced accusations that the government massages economic figures and that actual growth is considerably lower than official figures show, a view that has come into renewed focus.

Chinese authorities say they recognise that annual double-digit GDP expansions of the past cannot be sustained as the country's economy matures and have committed to a more sustainable "new normal" growth model that makes consumer spending the key driver.

- AFP/ec

 

[TracyTan866]

http://www.channelnewsasia.com/news/business/international/china-cuts-interest-rates/2075360.html

China cuts interest rates by 0.25 percentage points: Central bank
China's central bank on Tuesday cut its benchmark interest rates and the amount of cash banks must keep on hand, the latest stimulus aimed at boosting the world's second-largest economy as it battles a collapse in share prices.

BEIJING: China's central bank on Tuesday (Aug 25) cut its benchmark interest rates and the amount of cash banks must keep on hand, the latest stimulus aimed at boosting the world's second-largest economy as it battles a collapse in share prices.

The People's Bank of China (PBoC) announced on its website that it was reducing lending and deposit interest rates by 0.25 percentage points each and its reserve requirement ratio (RRR) by 0.50 percentage points. The moves take effect Wednesday, it said, and follow similar tandem cuts in late June.

China's "economic growth rate remains under pressure", the PBoC said in a statement, adding the cuts were meant in part to "support the real economy to continue to develop healthily".

It has now cut benchmark interest rates five times since November as authorities try to head off a too sharp deceleration in economic growth.

The lending rate was cut to 4.60 per cent while the deposit rate was reduced to 1.75 per cent, the bank said.

Reducing the RRR is also a stimulatory measure as it increases the amount of money banks can lend, so can boost economic activity.

China's plunging share markets and rising concerns overseas about its growth outlook have spurred a global rout in equity markets amid concerns the world economy could suffer if China's weakens too precipitously.

"The cuts in interest rates and the reserve requirement ratio are a reasonable and necessary step taken by the government," Chen Jiahe, chief strategist at Cinda Securities, told AFP.

"On the one hand it can support the real economy. On the other hand, it's positive for the capital markets."

Chinese share prices collapsed in mid-June after a year-long debt-fuelled rally and while a massive government support programme provided a temporary boost, panic selling has set in again.

China is a key driver of the global economy and even though expansions have been steadily slowing in recent years, concern has intensified that the situation is worse than the country's official data show.

Growth in China's gross domestic product (GDP) recorded its worst performance in nearly a quarter century last year, expanding 7.4 per cent. Results for the first and second quarters of this year showed growth slipped to 7.0 per cent.

The 7.0 per cent GDP growth figure for the April-June quarter - which matched the government's official target of "about 7.0 per cent" - surprised economists given that various data components during the period had been generally weak.

The target figure, announced in March, was a reduction from last year's objective of about 7.5 per cent, and was seen by economists as official recognition of the need for slower growth.

China has long faced accusations that the government massages economic figures and that actual growth is considerably lower than official figures show, a view that has come into renewed focus.

Chinese authorities say they recognise that annual double-digit GDP expansions of the past cannot be sustained as the country's economy matures and have committed to a more sustainable "new normal" growth model that makes consumer spending the key driver.

- AFP/ec

Will this slow down fall of China's equities?

 

[MovieStar]

Will this slow down fall of China's equities?

well, inject steriod into market. cant last long. temporary relief.
maybe can dong the market for a while.

well, i have ocbc. do u think i should sell? since china in mess now. ocbc too much china exposure.

 

[TracyTan866]

well, inject steriod into market. cant last long. temporary relief.
maybe can dong the market for a while.

well, i have ocbc. do u think i should sell? since china in mess now. ocbc too much china exposure.

I think ocbc is a solid share. if u don't need money, no need to sell

 

[MovieStar]

I think ocbc is a solid share. if u don't need money, no need to sell

dunno. too tired with the market these few weeks.

lazy to think. hahahaha. my cousin keep telling me market may drop further.
say if tomorrow up, then can sell. who dun want to sell.

problem now is all in red. how to sell. sianz

 

[TracyTan866]

dunno. too tired with the market these few weeks.

lazy to think. hahahaha. my cousin keep telling me market may drop further.
say if tomorrow up, then can sell. who dun want to sell.

problem now is all in red. how to sell. sianz

As u can hold on for a few years, I think no need to rush to sell OCBC today. The counter will go up once mkt recovers

 

[Welbeck]

Remember to follow Ho Jinx style to buy high sell low

 

[MovieStar]

well.
sti didn drop much. while everybody expect a big drop.

expect the unexpectedly.

 

[TracyTan866]

Remember to follow Ho Jinx style to buy high sell low

when HC buys, you sell

 

[TracyTan866]

well.
sti didn drop much. while everybody expect a big drop.

expect the unexpectedly.

yes, very unpredictable. volatile

 

[MovieStar]

Tracy Jie
what is your plan?

 

[Rogue Trader]

The real reason why GE was called in a rush:

Jump in Sibor and Swap Offer Rate

Wednesday, Aug 26, 2015
Grace Leong
The Straits Times

Two key interest rates affecting business loans and mortgages in Singapore have shot up.

A weaker Singapore dollar in the wake of the devaluation of China's yuan coupled with the looming US interest rate lift-off are the main factors driving the increase.

The three-month Singapore interbank offered rate (Sibor), used to set mortgage rates, spiked to 1.00208 per cent yesterday from 0.99600 per cent on Monday. It has more than doubled since January but is still way below its peak of 3.56214 per cent in July 2006.
Its highest level so far this year is 1.02705 per cent, reached on April 9.

The three-month Swap Offer Rate (SOR) - typically used to price corporate loans - spiked to a new year's high of 1.40236 per cent yesterday from 1.33242 per cent on Monday. But that is still below its peak of 3.77193 per cent on June 30, 2006.

"The weakening Singapore dollar, a corollary of both the regional currencies nose-diving and continued market speculation of further Monetary Authority of Singapore policy easing, translates into upward pressure on SOR. Sibor tends to follow with a lag. There is likely some pricing in of the anticipated Federal Open Market Committee rate hike too," Ms Selena Ling, head of treasury research & strategy at OCBC Bank, said.

But this could add to the drag on the already sluggish Singapore economy, she warned, as rising rates will potentially affect pricing for both corporate and mortgage loans. A softer Singapore dollar can put upward pressure on local interest rates such as SOR as investors seek higher yields as compensation for holding the weakening currency.

The Singdollar recovered slightly to 1.3969 yesterday from a five-year low of 1.4130 against the US dollar on Monday.

Mizuho senior economist Vishnu Varathan sees SOR testing the 1.5 to 1.6 per cent range in the near term as volatility in currency markets is expected to increase, and Sibor rising to between 1 and 1.2 per cent in the next three months.

"Expectations of the Singdollar's depreciation have been ratcheted up very much higher and faster because of the global rout, and investors expect the sell-off in emerging currencies to continue," he said.

"They also see the MAS allowing the Singdollar to ease more if the risks of fresh deflationary shock from the slump in oil prices are significant enough, and if global financial market shocks affect the Singapore economy. Businesses and home owners are going to be sore because rates are likely to go up much higher and faster."



This article was first published on August 26, 2015.
Get a copy of The Straits Times or go to straitstimes.com for more stories.

 

[TracyTan866]

Tracy Jie
what is your plan?

My plan is ti hold what I hv already bought. I will monitor the mkt and buy on opportunity like what I did on Monday

 

[MovieStar]

I also just hold what I currently have. Just like what I pm you.
Too much exposure to share now.

See how. Not much money left.

Also health and mood not good recently.
Very tired.

Both in physical and mental.

 

[TracyTan866]

I also just hold what I currently have. Just like what I pm you.
Too much exposure to share now.

See how. Not much money left.

Also health and mood not good recently.
Very tired.

Both in physical and mental.

I hope you will feel better and get better once you have decided to hold on to your portfolio and not to be too concerned abt the shares. Take the rises and declines as they come. Don't be too worried

 

[MovieStar]

I hope you will feel better and get better once you have decided to hold on to your portfolio and not to be too concerned abt the shares. Take the rises and declines as they come. Don't be too worried

is ok..thank you