Asian market preview 30/09/2008

US markets tumbled last night as bailout plan was rejected in congress. The Dow posted the biggest one-day drop ever, losing almost 780 pts. S&P500 and Nasdaq's percentage points drop was even bigger. Many traders have believed that it would take months for the plan to have its effect, but they also believe that it would be the first step to move forward to give some boost for the faltering economy. The bailout plan was unpopular in the first place and it would take great efforts to get approved by the congress. Shortly after the plan was rejected, US treasury secretary, Henry Paulson, vowed that he will work with congressional leaders to develop other way to help the sagging economy. The rejection of the bailout plan came after Commerce Department said that consumer spending fell in August to its lowest level in six months, while analysts expected it to rise slightly. The selling in NYSE was so intense that only 162 stocks rose and 3,073 stocks fell after the news of the bailout plan was rejected. Investors are fearing that the credit market will freeze up and the economy will continue to falter as all parties are afraid to lend money to each other. Meanwhile, oil prices tumbled more than $10 and other commodities prices also fell while gold rose as much as $23 during the US trading session. The Dow fell 777.68 pts or 6.98% to 10,365.45, S&P500 fell 106.85 pts or 8.81% to 1,106.42 while Nasdaq fell 199.61 pts or 9.14% to 1,983.73. With these losses, stocks value was decreased by around $1 trillion.

Asian markets are set to open lower today following the failure of the $700 billion bailout plan in the US overnight. Investors, some of whom have decided to sell off their holdings yesterday, may continue to sell off their stocks today as more uncertainty looms regarding the US financial system and its widespread effect across the globe. It would take great efforts by the US government to come up with a better plan and convince congress to give them some support. Investors will need confidence boost to start investing in the stock market again. Oil was recently traded at around $96.10ish per barrel, gold traded around $905.35ish and JPY traded around 103.77ish. Nikkei futures was closed at 10260 in CME compared to the close of 10640 here yesterday.

Kospi may open lower today following the failure of the bailout plan in US' congress last night. Investors may sell off their stocks and foreigners may take their investments from the South Korean market and prefer to hold cash in these uncertain times. Chipmakers may also get hit pretty bad after Apple and some other tech names in the US were downgraded last night. The only glimmer of light today for Korean market is the low oil price which may give some very slight support and hope for investors. Kospi may find its support at 170ish today and its resistance at around 177ish.

Hangseng may open lower today following the failure of the bailout plan in the US overnight and the selloff yesterday may intensify today. With property sector unable to lend support to the market, the only hope lies on the low oil prices which may give oil refiners some boost today. Investors will continue to wait on the sidelines for more news from the US and what other plan the US government can come up with. China mainland markets will remain closed today for national day holiday. Hangseng may find its support at 16000ish and its resistance at 17000ish today.

Asian market preview 29/09/2008

US markets were ended mixed on Friday as investors remained cautious after the $700 billion bailout proposals raised some doubts from Republican lawmakers. Investors were nervous and most of them were just waiting to see what will happen over the weekend. Big financial companies rose to lift the Dow while smaller financial companies were getting hit. Tech sector was also getting hammered after RIMM warned that its gross margins would contract for this quarter because of the costs of producing 3 new blackberry models. The market was also uneasy after Washington Mutual Inc. became the largest US bank to fail and was seized by FDIC before it was sold to JPMorgan for $1.9 billion. However, investors took some comfort as JPMorgan's decision to buy WaMu was considered to be good decision. Oil prices also declined as investors were uneasy about the outcome of the $700 billion bailout plan. Light, sweet crude fell $1.13 to settle at $106.89 per barrel. The Dow ended up by 121.07 pts or 1.10% to 11,143.13, S&P500 rose 3.83 pts or 0.32% to 1,213.01 while Nasdaq fell 3.23 pts or 0.15% to 2,183.34. Over the weekend, it seemed that lawmakers and Bush administration have finally came out with a deal and the $700 billion bailout proposals seems good. This may bring calm to the market and may give a short term rally ahead for Wall St and Global stock markets.

Asian markets may open higher following the news over the weekend that Congress and the Bush Administration have finally agreed on the terms for $700 billion bailout plans. More details still needed to be done but the idea was generally accepted by everyone and they're now waiting for the bill to be passed. President Bush called lawmakers and congressmen to rise to the occassion as failure to do so may bring more calamity to the wider economy. Crude oil was recently traded around $106.89ish per barrel, gold traded around $888.50ish and JPY traded around 106ish. Nikkei futures was closed at 12120 in CME on Friday compared to the close of 11910 here on Friday.

Kospi may open the day and start the week higher on investors' newfound optimism that the US government have finally agreed on the $700 billion bailout plan. The US government is basically going to buy all the toxic assets that are clogging the financial markets including bad mortgages and then it would later sell it again when the time is right. However, with the general idea finally gets accepted by congressmen, this will raise further question of whether $700 billion is enough to revive the whole economy and help America to avoid a great recession. Kospi may find its resistance at around 200ish today if investors are optimist and bullish enough and may find its support at around 195ish.

Hangseng may start the day higher with the news that US government have finally agreed on the bailout plan over the weekend. Hangseng was sold off on Friday as investors chose to exit and wait on the sidelines following the uncertainty on the US' bailout plan. However, with the plan now in place, Hangseng may find new energy to rally up today and may breach 20000 mark if investors are optimist enough. However, the contaminated dairy product scandal which have risen in China may hurt stocks as more and more dairy products like Oreo and M&Ms being taken off from public consumptions. China mainland market may also determine how high Hangseng will rise today. Hangseng may find its resistance at 20000ish and its support at 18900ish today.

Asian market preview 24/09/2008

US markets fell again last night and set the steepest 2-day decline since 2002 after losing more than 3% a day earlier on concerns regarding the $700B bailout plans. The US congress were questioning whether the $700B bailout is necessary and if it is, whether that $700B of taxpayers' money will help steer the economy around. The market seemed uncertain about how long it will take for the bailout plans to take effect while Fed chairman, Bernanke, told the Senate Banking Committe Congress risks triggering a recession if it doesn't act on the plan. He said that inaction could leave a range of businesses unable to borrow money while consumers could find it impossible to finance big purchases like cars and homes as banks are reluctant to give credits. Analysts believe that volatility will remains for some time even after the bailout package passes because of global economic slowdown which is going to have some impact on earnings. The Dow fell 161.52 pts or 1.47% to 10,854.17, S&P500 fell 18.87 pts or 1.56% to 1,188.22 while Nasdaq fell 25.67 pts or 1.18% to 2,153.34.

Asian markets may open lower again today following more concerns regarding the US bailout plans for the financial system. Most Asian markets were lower yesterday on this bailout concerns and may extend their losses today. Oil prices meanwhile were lower on profit taking and as the Dollar regained some grounds last night. Oil was recently traded around $107.03ish per barrel, gold traded around $892ish and JPY traded around 105.71ish. Nikkei futures were closed at 11750 at CME compared to the close of 12045 on Monday. Nikkei may play catch up with the rest of the regional markets after it was closed yesterday for a public holiday.

Kospi may open lower today following more concerns regarding the $700B bailout plans and its effectiveness. Yesterday, Kospi started lower but ended the day higher as investors shrugged off concerns from the US and focussed on the local market. The news that Warren Buffett is buying Goldman Sachs may give some boost to regional markets. Kospi may find its support at 190ish today and its resistance at 197ish.

Hangseng may open lower again today following more uncertainties from the US. Hangseng was heavily sold yesterday, losing almost 4%. Selling was intensified in the afternoon session as investors feared that market will be closed today due to another typhoon incoming. China mainland markets may again play a part in determining how the Hangseng market will be performing today if the market is open. Hangseng may find its support at 18700ish today and its resistance at 19500ish.

Asian market preview 23/09/2008

US markets tumbled yet again last night as fears returned to the markets as investors waiting nervously for the "mother of all bailout" package details. Oil and gold also soared as investors sought safe haven to invest other than the volatile stock markets. Investors may become more nervous if there isn't enough progress being made. Meanwhile, further reshaping of the US financial system appeared on Monday as Morgan Stanley plans to sell 20% of its stake to Mitsubishi UFJ Financial Group Inc. Oil soared more than $25 per barrel at one point and was settled up by $16.37 to $120.92 as investors snapped up supplies to cover October contract, which expired at the end of Monday session. Gold rose $40.30 to settle at $909 an ounce as dollar fell against major currencies. The Dow ended down by 372.75 pts or 3.27% to 11,015.69, S&P500 fell 47.99 pts or 3.82% to 1,207.09 while Nasdaq fell 94.92 pts or 4.17% to 2,178.98.

Asian markets may open lower today and end the 2-day winning streak since Friday as investors grew nervous on the bailout plan in the US. Oil's rally may also weigh on the market as inflation fears may creep back into some of the emerging markets. However, for countries like Indonesia, where the market is dominated by commodity players, this may give good sign for market to extend its rally. Oil was recently traded at $109.10ish per barrel, gold traded around $907.30ish and JPY traded around 105.45ish. Nikkei futures was closed at 11820 in CME compared to the close of 12060 here yesterday. Nikkei is closed for public holiday today.

Kospi may open lower today as fears crept back into the US markets last night. Investors are waiting anxiously for more news regarding the bailout plans and as oil crept back up, investors in Korea may also be weighed by rising energy prices. Kospi may find its support at 185ish and its resistance at 190ish today.

Hangseng may open lower after posting a huge 2-day gains since Friday. Weak sentiment from the US may weigh on the market and the global economic outlook is still uncertain. Chinese markets may play a part in determining the market's direction today. China mainland markets have rose more than 15% in the past 2 sessions and analysts predicted that it's bound to have a profit taking session soon if not today. Hangseng may find its support at 18700ish today and its resistance at 19300ish.

Asian market preview 22/03/2008

US markets soared for 2nd day on Friday on optimism that the government is doing everything they can to bring calm to the financial markets. Wall St however, still remains cautious as how far the government is willing to do to help the market. The Bush administration came up with a proposal on Saturday to get a $700B bailout package to the congress and hoped that it will get approval soon to help the markets. The package is viewed as needed by many economists but it brings about debatable points by some. Some economists and investors think that the package is quite "unfair" as it only helps to shield rich people to lose some of their money by making bad bets in the financial markets while it doesn't protect those taxpayers who owned homes and are about to get evicted cause they can't pay the debts to the lenders. Another step taken by the US government was to ban short-selling of 799 financial stocks for 2 weeks to help stabilize the markets. This step was indeed quite effective as investors rushed to switch their positions.

Asian markets may open higher today and may extend the global rally sparked by US governement's plans to bailout the troubled financial markets. Investors have found new optimism in the global financial markets and with the short-selling bans imposed, there are no other way but up. However, investors are still nervous with the bailout plans made by the US. Investors still think that the $700B rescue plan may not be enough to fully sustain the credit crisis fallout. Meanwhile, oil prices and gold prices rose too as investors still seek safe haven in a more conservative trading. Oil was recently traded around $104.55ish per barrel, gold traded around $874ish and JPY traded around 106.80ish. Nikkei futures was closed at 12440 in CME compared to the close of 12130 here on Friday.

Kospi may open higher today after the US markets staged the biggest 2-day rally on Thursday and Friday on government rescue plans. Now, with the $700B rescue plan the government is planning on, Kospi may get a boost further with the already oversold market. However, with as the rally on Friday already been so high, investors may still be quite nervous to make further big bets on the market. Today's rally may not be as much as Friday's and those nervous investors may pull some of their winnings back from the market as the situation is still quite uncertain. Kospi may find its support at 190ish and its resistance at 197ish.

Hangseng may open higher yet again today and may rise further as optimism grew in the US. China markets may determine if Hangseng will rise further on top of the 10% one day rally on Friday. Jittery investors may take some of their winnings off the table today and that may cause Hangseng to slowdown a bit after staging a late recovery on Thursday and a very huge gain on Friday. Hangseng may find its support at 19300ish and its resistance at 19800ish today.

Asian market preview 19/09/2008

US markets soared last night and posted its best day in 6 years after news that the government is preparing a more comprehensive solution to the financial crisis sparked a furious late rally in the day. The CNBC reported that the government might create an entity to absorb banks' bad debt. It is more like a vehicle similar to the Resolution Trust Corp. formed in the crisis in the late 1980s and the news cheered investors as it showed that the government is doing everything they can to stabilize the financial system. The Fed also added another $55 billion in overnight loans on Thursday. Fears in the market have also led big financial institutions such as Washington Mutual and Morgan Stanley to rush to make a deal and in the process of combining with other banks. Wells Fargo & Co. and Citigroup Inc. are reported to be interested in the takeover of Washington Mutual while Morgan Stanley and Wachovia Corp. are in talks of a possible merger. Gold and Oil again become targets for safe-haven buying by investors as gold rose $50.20 to $900.70 an ounce. Oil has also rose above $100 before it went back down to settle at $97.88 per barrel. Meanwhile, the labor department reported that initial claims for unemployment benefits rose by 10,000 last week to 455,000 due to Louisiana's job losses from Hurricane Gustav. The Philadelphia Fed said that its regional manufacturing report improved 3.8 in September from a negative 12.7 in August and mark the first positive reading since November. The Dow shot up 410.03 pts or 3.86% to 11,019.69, S&P500 rose 50.12 pts or 4.33% to 1,206.51 while Nasdaq rose 100.25 pts or 4.78% to 2,199.10.

Asian markets may open higher today as newfound optimism caused Wall St to rally overnight. With the news that US government will provide some sort of vehicle for bad debt, investors may be confident enough to buy stocks and hold a rally for a few days now. Stocks have been previously battered so bad that analysts believe that now it's a good time to buy stocks as prices are already "cheap". The joint effort by central banks worldwide to inject as much as $180 billion into global money markets may also cheer investors. Markets around the region are expected to post big gains like that of Wednesday but this time, hopefully the rally will last. Commodity companies may also be benefited as oil continue to rise last night and also as gold rose yet again on safe-haven buying buy investors. Oil was recently traded around $98.30ish per barrel, gold traded around $860.60ish and JPY traded around 105.65ish. Nikkei futures was closed at 11760 in CME last night compared to the close of 11555 here yesterday.

Kospi may open higher today following the rally staged by Wall St on the much needed relief news given by the US government. With new-found optimism in the market, investors may rush into stocks to buy stocks at the now already bargain prices. Bargain hunters may lead the way and push stocks higher today. With oil holding steady below $100 per barrel and gold still rushed higher, it may be a good sign and boost the market further. Kospi did not get the chance to react as the news of global central banks plans to inject $180 billion into global money system came after Kospi was closed yesterday. Kospi may find its support at 182ish today and its resistance at 190ish.

Hangseng may open higher today after staging a late recovery yesterday in an exceptionally hectic session. Yesterday, Hangseng was down as much as 7.7% at one point before it staged a 2nd session recovery to close flat. Volatility was very high as investors rushed to buy bargain stocks after the news about global central banks' joint effort to pump money. However, the rally may also be halted if China mainland markets still show some negativity. Investors are still quite nervous after their confidence was being tested to the limit with failures after failures of giant financial companies. Hangseng may find its resistance at 18500ish today and its support at 17900ish today.

Asian market preview 18/09/2008

US markets tumbled yet again last night, with Dow sank more than 450 pts on concerns that more financial institutions may be in trouble. Investors' confidence were hit hard and The Fed's action to rescue AIG was seen as not so positive move after all. Investors thought that with The Fed lending $85 billion to AIG, it means that no other independent companies that can come up with that much amount of cash to help bailout the insurance giant. Trust is also becoming an issue on Wall St last night as AIG used to say that they are OK along with anybody else and now one by one, the financial institutions start to collapse. Commodity sector became a target for safe-haven buying as investors divert their money to oil, gold and short-term treasurys. Gold rose as much as $90.40 or 11.6% to $870.90 an ounce in after-hours trading while oil rebounded $6.01 to settle at $97.16 per barrel. The Dow lost 449.36 pts or 4.06% to 10,609.66, S&P500 plunged 57.21 pts or 4.71% to 1,156.39 while Nasdaq fell 109.05 pts or 4.94% to 2,098.85.

Asian markets may open lower and may plunge again today after staging a moderate rebound yesterday. More worries from Wall St's financial system may grip investors and may cause more worries for banks around the region. Asian banks which have exposure to institutions in the US may be in tight spot as investors' confidence starts to fade away. The sector which may shine today is commodity sector as oil and gold prices rally last night. Oil was recently traded around $97ish per barrel, gold traded around $863.90ish and JPY traded around 104.38ish. Nikkei futures was closed at 11320 in CME last night compared to the close of 11650 here yesterday.

Kospi may open lower today, erasing yesterday's gains and may go down further. Kospi may test this year's lowest point and if it can break that, it may go down even further as confidence fade away for foreign and local investors. With oil price rebounded, commodity sector may get a boost but other sector like airlines may be hit hard as investors lock in profit after recent gains as oil prices dropped. Kospi may find its strong support at 175ish and may find its resistance at 182ish today.

Hangseng may open lower yet again today and may continue its way south after plunging more than 3% yesterday on more worries about banks' exposure to US' counterparts. Hangseng may test the 17000 level and may even break that level if investors are really panicking right now and as investors' confidence fade away. With oil prices rising, inflation fears may creep back in although oil still stayed below $100 per barrel. Airlines and travel sector may be hit further as oil rose while CNOOC and PetroChina may rise. Hangseng may find its strong support at 16500ish today and its resistance at 17300ish.

Asian market preview 16/09/2008

US markets tumbled the most since 2001's terrorist attacks last night, losing more than 500 pts as investors recoiled as Lehman Brothers Inc. filed for bankcruptcy and after a forced sale of Merril Lynch to Bank of America. While the 2 companies have reached some kind of resolution, investors are now focused on other financial institutions such as AIG, which is seeking funding to shore up its balance sheet. The Fed is urging other financial giants such as Goldman Sachs and JPMorgan to raise money of up to $75 billion to help AIG. Investors have become scared and panic selling was seen across the markets in the US as the stability of the financial systems is being questioned. Investors are also waiting for The Fed's decision on interest rates which is due later on tonight and investors are expecting that The Fed might show some signs that they're ready to cut rates further. On the commodity sector, oil also tumbled $5.47 to $95.71 per barrel on renewed concerns that the demand is slowing significantly. The Dow plunged 504.48 pts or 4.42% to 10,917.51, S&P500 fell 59.00 pts or 4.71% to 1,192.70 while Nasdaq fell 81.36 pts or 3.60% to 2,179.91.

Asian markets are bracing for hefty losses today following the bankcruptcy of Lehman Brothers and after Merril Lynch was swallowed by Bank of America. The troubles in AIG may also add to the worry for investors here as a lot of banks and institutions are exposed to AIG and also Lehman Brothers. The tumble in commodity sector may also hurt commodity players here in Asia and countries like Indonesia may suffer further as its market is being driven by commodity-related companies. With major Asian merkets closed yesterday, they may play catch up to Wall St and may suffer more losses. Oil was recently traded around $94.27ish per barrel, gold traded around $790.50ish and JPY traded around 104.22ish. Nikkei futures was closed at 11740 in CNE compared to the close of 12220 here on Friday.

Kospi may open lower today and may test this year's low on Lehman's demise. The exposure on Lehman Brothers for Korean banks also may weigh on the market today. Losses may be accelerated if investors decided to take their money off stocks on worries that the financial system in the US may be unstable and may spread off to the rest of the world.

Hangseng may open lower today following other markets as Lehman Brothers filed for bankcruptcy and also more worries for AIG. The tumble in commodity prices may also weigh on commodity producers in Hong Kong such as Sinopec and CNOOC. The only consolation found in today's market may be the interest rate cut by the PBOC in China. Hangseng may find its support at 18000 and its resistance at 18700 today.

Asian market preview 12/09/2008

US markets staged quite a big rally last night despite more Lehman worries still linger around the market. Bargain hunters bought financial's stronger players and also materials and transport sectors. The falling crude prices also helped investors to go into buying mode in Wall St. JPMorgan, Wells Fargo & Co. and Washington Mutual are the names that investors think their stocks are at bargain prices and investors were collecting their stocks. However, concerns regarding the broader economy still lingers as Labor Department reported that people seeking jobless benefit dropped 6,000 last week to 445,000 while analysts predicted a reading of 440,000. The Commerce Department also said that the nation's trade deficit jumped in July to the highest level in 16 months as oil imports set new highs which offset strong export growth, but since then, oil have fallen about 30% from its peak and investors are expecting better trade deficit in the coming months. Crude oil fell $1.71 to settle at $100.87 per barrel and helped investor to buy more stocks as optimism build slightly that inflation would tame. The Dow finished higher by 164.79 pts or 1.46% to 11,433.71, S&P500 rose 17.01 pts or 1.38% to 1,249.05 while Nasdaq rose 29.52 pts or 1.32% to 2,258.22.

Asian markets may open higher today following the stronger close on Wall St last night and as oil prices drop, hopefully investors will get slight optimism to buy into stocks. Talks that Bank of America might be helping and buy Lehman Brothers may also be taken as positive news by investors and may finally give reason to buy into financials as well. Commodity-related companies may continue be battered today as gold price slide to below $750. Oil was recently traded around $101.40ish per barrel, gold traded around $752.60ish and JPY traded around 106.95ish. Nikkei futures was closed at 12210 in CME compared to the close of 11985 here yesterday.

Kospi may open higher today following the stronger close on Wall St which may spark buying interest for investors locally. The gain in US$ may give boost for exporters but the falling commodity prices may also limit its gains today. Bargain hunters may kick in and start collecting stocks that have been battered quite badly for the past few days. Kospi has been showing some resilience as it didn't drop as much as other markets like Nikkei and Hangseng. Kospi may find its support at 188 and its resistance at 195ish today.

Hangseng may open higher today following the stronger close on Wall St and after the markets have been battered badly for the past 2 days. Bargain hunters may come in and buy cheap stocks but gains may be limited if investors are still worried about Chinese giants such as China Mobile. Commodity related companies may be hit again today. PetroChina and CNOOC may also get hit again as oil prices fell. However, lower oil prices may benefit the market in long term as inflation tame and central banks around the world can focus on economic recovery. Hangseng may find its support at 19200ish and its resistance at 20000 today.

Asian market preview 11/09/2008

US markets ended moderately higher last night as Wall St mulls Lehman plans and after investors bought energy, materials and consumer-staple stocks which have been battered badly the previous session. Lehman Brothers reported the biggest loss in its 158-year history, posting $3.9 billion Q3 loss on $5.6 billion of writedowns, worse than the $2.2 billion loss predicted by analysts. The company then said that it plans to sell a majority stake in its investment management business and spin off its troubled mortgage assets and its shares dropped another 6.9% on top of 45% drop in the previous session. Bargain hunters dominated the markets last night as they bought energy names and defensive stocks like consumer staples which have dropped to a fairly cheap price. Oil prices fell again as indications of a weakening economy overshadowed OPEC's decision to cut production. Light sweet crude fell 68 cents to settle at $102.58 per barrel. The Dow ended up 38.19 pts or 0.34% to 11,268.92 in a very volatile session. S&P500 rose 7.53 pts or 0.61% to 1,232.04 while Nasdaq rose 18.89 pts or 0.85% to 2,228.70.

Asian markets may open slightly higher today and may rise further if investors decided that it's time to bargain hunt cheap stocks. Most markets retreated yesterday as more jitters came from Wall St over fears of Lehman Brothers' failure. The sliding oil price may provide support and reason for investors to buy stocks as inflation pressure eases. Volatility in the markets around the region may be quite high especially for those with expiring futures contract due today such as Nikkei and Kospi. Oil was recently traded around $102.83ish per barrel, gold traded around $750.35ish and JPY traded around 107.80ish. Nikkei futures was closed at 12295 in CME compared to the close of 12300 for old contract and 12260 for new contract here yesterday.

Kospi may open around yesterday's closing price with tendency to go higher today. Kospi was one of the markets in the green territory yesterday as investors bought up futures contracts for rollover due to expire today. The strengthening Won may provide support and give more reason for investors to buy stocks. The drop in oil prices may also give reason for investors to buy. Kospi may find support at 189ish and its resistance at 194ish today. Please take note that these data is for Kospi's new contract.

Hangseng may open higher today and may again reclaim its 20,000 psychological level. Hangseng dropped to below 20,000 on downgrades for China property sector and also after commodity related stocks were hit. Bargain hunters may start kicking in today as they try to get cheap stocks to collect when the Hangseng index dip below 20,000. China's inflation measure dropped to 4.9%, its lowest in 14 months. However, investors are not too happy with that data as now, the focus are on commodity prices which have dropped so fast that it indicated a major slowdown in economy. Hangseng may find its resistance at 20300ish today and its support at 19800ish.

Asian market preview 10/09/2008

US markets tumbled more than 2% last night on fresh concerns regarding Lehman Brothers that the company might not be able to find new investors to shore up its balance sheets. The pullback came a day after the biggest single-session rally in a month, after the government announced the takeover of Freddie Mac and Fannie Mae. Worries about the fate of Lehman Brothers sent its stocks down nearly 50% as talks with South Korea's KDB ended. Another bad news came from the pending US home sales report where the National Association of Realtors reported that its pending sales of existing homes fell 3.2% to 86.5 from 89.4 in June and missed a predicted reading of 88.6. Energy companies suffered yet again as oil fell $3.08 to settle at $103.26 per barrel as Hurricane Ike appeared to be heading away from installations in the Gulf. The Dow ended down by 280.01 pts or 2.43% to 11,230.73, S&P500 fell 43.28 pts or 3.41% to 1,224.51 while Nasdaq fell 59.95 pts or 2.64% to 2,209.81.

Asian markets may open lower again today as more worries from the US may spill over to the region. Yesterday, Asian markets were closed lower as profit taking dominated the market and more economic worries caused investors to seek safety. The economic doubts seem to become reality today as fears that another major bank may collapse in the US may trigger a selloff yet again. The continuing downfall in energy and commodity prices may help the market in long term as inflation eases but may hurt markets in short term as energy and commodity companies may lose market value. Oil was recently traded around $103.26ish per barrel, gold traded around $792ish and JPY traded around 107.08ish. Nikkei futures was closed at 12175 in CME last night compared to the close of 12455 for old contract and 12405 for new contract here yesterday.

Kospi may open lower again today following the end of the takeover talk by KDB for Lehman Brothers. Uncertainties about the fate of major US banks may spook investors as more economic worries may spread globally. The fall in oil prices may help stocks such as airlines and travels but it may not help too much as investors may seek safety after big gains on Monday. From technical point of view, Kospi still have room to fall after a gain of more than 5% on Monday and it needs to close the big gap formed that day. Kospi may find its support at 182ish and a very strong support at 180ish and its resistance at 187ish.

Hangseng may open lower yet again and may continue its path lower, closing the gap formed on Monday too. With more economic uncertainties from the US, investors in Hong Kong may not want to bet too heavily and may pull their winnings while they're still in the money right now. However, the continuing fall in oil prices may help curb the selloff and may give positive sentiment for the market in inflation terms. Chinese mainland market may yet again play a part in determining whether Hangseng may continue its downward path or it may recover slightly in 2nd session. Hangseng may find its support at 19800ish and its resistance at 20500ish today.

Asian market preview 09/09/2008

US markets soared last night following after news came out on Sunday that the government have taken over Freddie Mac and Fannie Mae. The markets rallied alongside Europe and Asia, staging one of the biggest 1 day rally around the world. The takeover was cheered by investors and it boosted confidence for financials and home builders. However, the move did not immediately help all areas of the economy for example tech which was battered badly last week. Analysts believe that the rescue for both companies may provide a short-term rally and lessened the bear grip on the market. Financials and home builders provided boosts for the markets while Tech sector still quite lagging behind on worries that global slowdown may slow demands. Crude oil price rose slightly on fears that hurricane Ike may be on its way to oil infrastructure in the Gulf of Mexico. Light sweet crude rose 11 cents to settle at $106.34 per barrel. The Dow ended up by 289.78 pts or 2.58% to 11,510.74 after being up nearly 350 pts earlier. S&P500 rose 25.48 pts or 2.05% to 1,267.79 while Nasdaq rose 13.88 pts or 0.62% to 2,269.76.

Asian markets may open around yesterday closing price with more upward bias today as most markets have staged quite a big rally yesterday. It is not surprising if some markets may also pullback some of the gains from yesterday as markets rose quite sharply for 1 day. Financials and banks may still provide the steam for today's advance but fears of hurricane Ike may cause oil price to rise and in turn may drag some markets around the region. Oil was recently traded around $106.34ish per barrel, gold traded around $802.50ish and JPY traded around 108.10ish. Nikkei futures was closed at 12540 in CME compared to the close of 12660 here yesterday.

Kospi may open around the same price as yesterday and may still rise further today if there are more market boosting news such as a stronger Won. However, a pullback is not surprising considering that the market rallied more than 5% yesterday. Investors may also still be cautious ahead of more economic data to come out of the US later on this week, and also the fate of commodity prices will be closely watched by investors. Kospi may find its resistance at 193ish and its support at 188ish today.

Hangseng may open around yesterday's closing price with some upward bias. However, with China markets dragging like yesterday, Hangseng may lose some steam and may also be dragged lower by China mainland markets. Yesterday's rally was quite big for Hangseng too and quick profit taking for those hit-n-run traders may cause Hangseng to lose more points. The uncertainty in oil prices may also provide reason for investors to look for safety while they're in the money. Hangseng may find its resistance at 21000 and its support at 20400ish today.

Asian market preview 08/09/2008

US markets were closed mixed on Friday after investors wrestled with more economic worries, extending sharp losses after a disappointing jobs report but finally got some modest gains as bargain hunters kicked in. Markets fell after Labor Department reported that payrolls shrank more than anticipated, shrank 84,000 compared to the predicted of 75,000 decrease. Unemployment rate rose to 6.1% from 5.7%. However, markets got boosted as investors saw opportunity in the sharp drops during the week and consider that most of the stocks are near the bottom. Speculative buying dominated the markets on Friday as oil continued to fall, settling down $1.66 at $106.23 per barrel. Financials mostly rose as speculation that Lehman Brothers Inc is expected to survive the credit crisis. Over the weekend, government announced that the US government have seized control of 2 troubled mortgage giants, Fannie Mae and Freddie Mac in the biggest step taken by officials to grapple with the ever-persistent credit crisis. The Dow ended up by 32.73 pts or 0.29% to 11,220.96, S&P500 rose 5.48 pts or 0.44% to 1,242.31 while Nasdaq fell 3.16 pts or 0.14% to 2,255.88.

Asian markets may open slightly higher today after US markets seemed to have rebounded slightly. Technical rebound may dominate the market today with bargain hunters may kick in to buy battered stocks from last week. The falling oil prices may finally help and should be able to give some comfort for investors as inflation problem slightly eased. The announcement that US government have taken over Fannie Mae and Freddie Mac may also give some hope for investors. Oil was recently traded around $106.23ish per barrel, gold traded around $802.80ish and JPY traded around 107.36ish. Nikkei futures were closed at 12210 in CME compared to the close of 12105 here on Friday.

Kospi may open slightly higher today as Wall St mostly rose on Friday on bargain hunting. Kospi have been battered quite bad last week and investors may finally come to their senses and may start buying stocks, which are quite cheap and reasonable now. With the continued weakness in energy market, investors may have less to worry about in inflation sector. Kospi may rise more towards 185ish and may find strong resistance there while it may find a strong support in the 178ish region today.

Hangseng may open higher today as US markets are able to manuver its way through bad job data on Friday and managed to close mostly higher. With the takeover of Fannie Mae and Freddie Mac, investors may find it comforting as the 2 giants finally gets the help they need. Hangseng futures fell by quite a margin after market closed on Friday. Technical rebound and bargain hunting may help Hangseng today. Hangseng may find its resistance at 20500 today and its support at 19700 today. China markets may also play a part in determining whether Hangseng will rise and gets its rebound or may even slide further down as it had broken the 20,000 support point.

Asian market preview 05/09/2008

US markets plunged last night after retail and employment data mounted more fears on economic slowdown for investors and devastated hopes for a late-year recovery. Investors were already nervous waiting for August employment report due on Friday, so the weak retail sales released last night added to the worries as a major blow and investors did not like it one bit. Higher gas and food prices have caused shoppers to cut their spendings on luxury items. Another bad news came from Labor Department where they said that new applications for unemployment rose by 15,000 last week from the previous week signaling weak job markets. The market was overwhelmed by the strings of bad news that it showed little reaction when the ISM said that service sector grew unexpectedly in August for first time in 3 months as new orders increased and inflation moderated. The Dow plunged down 344.65 pts or 2.99% to 11,188.23, S&P500 fell 38.15 pts or 2.99% to 1,236.83 and Nasdaq fell 74.69 pts or 3.20% to 2,259.04.

Asian markets may open lower today and Japan market have traded lower since the open. It opened at 12200 and it edged down lower further and was recently traded around 12180 after reaching its current low of 12155 and its high of 12255. With the Yen strengthening against US$, it is quite hard for Japanese stocks to get a lift today and may trade around this range for the rest of the day. However, bargain hunters may be a surprise package and may give Nikkei some boost later on in the afternoon. Oil was recently traded around $107.68ish per barrel, gold traded around $798.20ish and JPY traded around 106.87ish. Nikkei futures was recently traded around 12190.

Kospi have opened lower and currently traded off its current day low. It opened at 180.00 and have reached its lowest of 179.75 and its current high at 181.15. It is currently traded around 180.80. Kospi may trade around this region for the rest of the day but it may go up if bargain hunters decided to buy into the cheap stocks available in the market now. South Korean government attempt to curb the falling Won may also help the market a bit and give some optimism to investors. Kospi have been battered quite bad in recent weeks and that may give investors some reason to buy and as oil prices stayed below $110 per barrel, it may give positive impact in long term as inflation pressure moderated around the region.

Hangseng may open lower today and may go well below 20,000 today. It may open around 19700 and may even go down further if investors think that Hangseng is not quite cheap enough right now. If Hangseng did not manage to close above 20,000 by the end of the day, it may go down further next week. Hangseng may find its support at 19,500 today and its resistance at 20,300 today. Volatility may be high as bargain hunters may kick in to buy into the market as Hangseng fall below the 20,000 level for first time this year.

Asian market preview 04/09/2008

US markets were closed mixed last night as investors still unsettled about the economy ahead of Friday's employment report and only sliding commodities prices gave some support for the market. Good news came from Commerce Department where it reported a 1.3% increase in orders for manufactured products, compared to the 0.8% predicted by economists. However, that piece of good news was shrugged off by investors as automakers released sluggish August sales and The Fed reported weak economic activity throughout the nation. Meanwhile, oil continued its sliding path, touching briefly below $108 per barrel before it settled down 36 cents at $109.35 per barrel. The troubled financial sector also drew some bargain hunters on positive news for big names such as Ambac, Freddie Mac and Lehman Brothers Inc. The Dow ended up by 15.96 pts or 0.14% to 11,532.88, S&P500 fell 2.60 pts or 0.20% to 1,274.98 while Nasdaq fell 15.51 pts or 0.66% to 2,333.73.

Asian markets may open around yesterday's closing price with somewhat flat bias throughout the day. With oil stayed below $110 per barrel, it may give more confidence for investors to buy into the stock markets but more uncertainties from the US may prevent markets to rally much today. Commodities related companies may be hit hard again today with the continued fall in oil and other commodities. Oil was recently traded around $109.35ish per barrel, gold traded around $808.20ish and JPY traded around 108.25ish. Nikkei futures was closed at 12650 in CME compared to the close of 12630 here yesteday.

Kospi may open at around yesterday's closing price and may move within the same range as the yesterday. Government's attempt to curb the weakening Won may help and give hopes for investors to buy into the stock markets. However, if regional market sentiment is still weak, Kospi may be pressurized further. Bargain hunting may kick in and help to give market some ray of hope and may cause high volatility in the market. Kospi may find its support at 182ish and its resistance at 187ish today.

Hangseng may open at around yesterday's closing price but it may change if regional markets move in a drastic way whether it's up or down. With Hangseng being battered badly yesteday, some technical rebound may happen in early trade. Bargain hunters may kick in and try to get cheap stocks as oil stayed below $110 per barrel. However, weak market sentiment from US and other markets such as China may limit Hangseng's rally today. Hangseng may find its support at its year's lowest point of 20300ish and its resistance at 20800ish.

Asian market preview 03/09/2008

US markets erased sharp gains in early trade to close moderately lower last night. Oil prices became the main reason for markets' activity for last night's trade where crude oil fell to as low as $105.46 per barrel. However, the positive impact from the falling oil was short-lived on stocks as commodity producers and more worries in housing and financial sector weighed on the overall market. There is a high level of uncertainty in the market which caused high volatility like we saw the past few months. ISM said its index on manufacturing activity fell to 49.9 in August from 50 in July as expected. Crude oil ended the day falling $5.75 to settle at $109.71 per barrel as fears of new storm brewing. Financials and airlines led the markets higher last night while tech sector was dragging the overall market. The Dow ended down by 26.63 pts or 0.23% to 11,516.92, S&P500 fell 5.25 pts or 0.41% to 1,277.58 while Nasdaq fell 18.28 pts or 0.77% to 2,349.24.

Asian markets may open around yesterday's closing numbers today following the weak close on Wall St. However, markets sentiment around the region may be positive today as oil prices fell by a quite a large amount and was traded below $110 since April. The cheaper oil eased inflationary concerns around the region but more uncertainties regarding the whole global economy may also drag the markets down today. Oil was recently traded around $110.20ish per barrel, gold traded around $809.40ish and JPY traded around 108.68ish. Nikkei futures was closed at 12680 in CME last night compared to the close of 12755 here yesterday.

Kospi may open rather flat with higher bias in early trade today as falling crude oil may spur some buying interests for investors. However, the continued decline in the Won currency may still weigh on the market unless the government really going to do something about it. Bargain hunters may kick in as the market have been badly battered for the past few weeks. Volatility may be high as the market try to grapple with positive news of falling energy prices and the negative news of the overall economic stability. Kospi may find its support at 180 today and its resistance at 186ish.

Hangseng may open higher today on lower oil price cues and may extend yesterday's rally. The continued decline in oil prices may help the market as it gave some hope to investors that inflation problem is easing slowly. However, as there are more storms to come in the US, oil may creep back up and may weigh on the market yet again. China markets may play a part in determining how well Hangseng market may perform today. Hangseng may find its support at 20800ish and its resistance at 21400ish today.

Asian market preview 02/09/2008

US markets were closed for labor day holiday last night. All eyes were on hurricane Gustav though and crude oil was being traded electronically in Nymex in a special trading session. Crude oil prices tumbled $4.34 to $111.12 per barrel in late afternoon electronic trading as hurricane Gustav weakened along the Gulf Coast and posed less of a threat to oil drilling and refining operations. Dow futures was recently traded around 11567.

Asian markets may open rather flat today as lack of cues from the US markets may prevent investors to bet too heavily at the start. However, markets around the region may rise today as the markets have tumbled significantly yesterday. The drop in oil prices may also help boost the overall market in the region as it gave some hope for investors. Crude oil was recently traded around $111.22ish per barrel, gold traded around $823.50ish and JPY traded around 108ish. Nikkei futures was closed in CME last night and was closed at 12835 here yesterday.

Kospi may open around yesterday's closing price and it may get a technical rebound today after tumbling more than 4% yesterday. Kospi may try to get towards 188ish region today if bargain hunters sees this as an opportunity to get into the battered market. However, the continuing slump in the country's currency may prevent the increase to be sustainable. Foreigners may also play a part in determining whether Kospi is set to rebound or will it continue its slide today. Kospi may find its support at 180ish today with its strong resistance at 188ish.

Hangseng may open around the same price as yesterday's close but with a higher note on a rebound course. Lower oil prices may give some hope for investors and may boost oil-sensitive stocks such as airlines. However, with lack of news from the US and investors are still anticipating more bad news this week, gains are seen to be quite limited today. Hangseng may try the 21000 level again and if it managed to do that, it may find strong resistance at 21200 today and its support at 20600.

Asian market preview 01/09/2008

US markets tumbled on Friday after the government said that personal incomes fell last month by the largest amount in 3 years while consumer spending slowed. Disappointing report from Dell Inc. also weighed on Nasdaq. Commerce Department reported that personal incomes fell by 0.7% in July, more than the 0.1% predicted by analysts. Consumer spending also rose modestly by 0.2% compared to the 0.6% increase seen in June. There are also better report for Chicago Purchasing Managers Index where it jumped to 57.9 from 50.8 in July. However, the bad report in personal incomes and consumer spending, also the high oil prices due to fears of hurricane Gustav weighed on the markets more. Traditionally, September is believed to be a weak month for stock markets as analysts believed. Nymex electronic trading is available on Sunday in a special session as hurricane Gustav approaches. Analysts believe that Gustav may be worst than Katrina and crude oil price rose $2.21 to $117.37 per barrel as of 3:27 PM New York time. The Dow ended lower by 171.63 pts or 1.47% to 11,543.55, S&P500 fell 17.85 pts or 1.37% to 1,282.83 while Nasdaq fell 44.12 pts or 1.83% to 2,367.52.

Asian markets may open lower today following more bad news from the US and also after the markets plunged on Friday. The weak personal incomes and consumer spending numbers from the US still indicated that the US' economy is still weak and a lot of work still needs to be done. Higher oil prices as Gustav approached closer to the gulf of mexico may also hurt oil sensitive stocks and may affect the overall market around the region. Crude oil was recently traded around $116.70 per barrel, gold traded around $835.20ish and JPY traded around 108.20ish. Nikkei futures was closed at 12950 in CME compared to the close of 13035 here on Friday.

Kospi may open lower again and may go further lower after it was closed at its lowest point for this year on Friday. Foreigners may still be net sellers and local investors may also dump more stocks today as confidence is growing thin for Kospi market. Fears of higher oil prices may also weigh on market as higher oil means higher inflation for the country. Kospi may open around 187-188 and may go down further towards the 185 level. It may find resistance at 191ish today and support at around 185ish.

Hangseng may open lower today after it gained grounds on Friday after positive news on US data. However, as US data showed more weakness in the economy, Hangseng may fall again today. Hangseng may open at around 21100ish and may fall to below 21000 again today. It may find support at 20800 and resistance at 21300 today. China mainland markets may also play a part in today's session as volatility may be high too today with oil prices may be in focus for oil sensitive stocks.