Asian market preview 17/01/2008

Sorry for the late post as I have internet connection problem at home.

US markets extend losses last night after another wild and volatile session. The markets did have some rally after CPI and core inflation data came out rather mild and also after JP Morgan Chase & Co. and Wells Fargo & Co. gave out a better-than-expected results. Technology sector did take a beating overnight after Intel earnings disappoint. The Dow fell 34.95 pts or 0.28%, S&P500 fell 7.75 or 0.56% while Nasdaq fell 23 pts or 0.95%.

Asian markets may open slightly lower again today, extending the losses for the past week. However, there might be a chance for a rebound today in some Asian markets as they have taken quite a beating in the past few sessions. Crude oil and gold prices fell overnight in US trading. Crude oil was recently at $91ish per barrel, gold at $877ish and USD gained some grounds against JPY to 107ish.

The Kospi may open slightly lower again, but there may be technical rebound happening today after Kospi fell 3 days in a row this week. Kospi may open around 218-219ish and it may go back above 220 again today. Kospi may move between: 216ish-222ish. Volatility is expected to be high again today with nervous investors may stay out of the market, waiting for earnings report from Merril Lynch tonight.

Hangseng may open lower today following a slightly weaker close in the US overnight. However, chance of technical rebound should be there after Hangseng shed more than 5% yesterday and fell to below 25000 mark. However, nervous investors will still dominate the market as investors are waiting for earnings report from Merril Lynch due out later tonight. Volatility may be high and expect another choppy session today. Hangseng may move between: 24600ish-25200ish.