Asian market preview 26/03/2008

Most US stocks were closed higher on Wall St overnight after bad economic data in consumer confidence. The Conference Board Consumer Confidence Index plunged to 64.5 in March from a revised 76.4 in February and was at its lowest in 15 years. Markets did not plunge too deep after this news and it indicates that market are still nervous but then investors decided not to sell off equities but chose to wait on the sidelines instead. Housing prices also fell 11.4% in January, which was the steepest drop since the data was first collected in 1987. The Dow was closed lower 16.04 pts or 0.13% to 12532.60, S&P500 rose 3.11 pts or 0.23% to 1352.99 while Nasdaq rose 14.30 pts or 0.61% to 2341.05. Markets are still waiting for directions following the bad data but many actually believed that The Fed's move may be effective to prevent the economy to go deep into recession.

Asian markets may open up higher again today following the gains in most stocks on Wall St overnight. Commodity producers may help push markets higher today after being laggards for the past few sessions. However, gains may not be as much as the past few days and some profit taking may take place while markets are waiting for more solid data to move the markets. Crude oil rose again and was recently traded around $101.70ish per barrel, gold was traded around $938ish and JPY traded around 99.90ish. Nikkei futures was closed at 12810 in CME compared to the close of 12750 here yesterday.

The Kospi may open higher again today around 216ish. It's a long shot to go up until 220 but it may play around 218ish today. Market may not rally as much as the previous few sessions but seeing Kospi, it may rise steadily like it did yesterday and Monday. Profit taking may take place too should investors decided to try and play it safe.

Hangseng may open higher again today around 22600ish and may even try to go up until 23000ish today. There may be more volatility today compared to yesterday's steady climb upwards as some investors may go into profit taking mode. Wait and see mode may be in play today by investors.