The day before I left for Penang (10 Oct), the Straits Times Index (STI) ended at 2,668 points. During the four days away, I did not watch the Singapore stock market. The day when I landed back in Singapore (14 Oct), the STI ended at 2,744 points. This was an increase of 2.85 per cent. Last Monday (17 October), the STI continued to climb and it ended the day at 2,778 points (+4.12 per cent over 10 Oct’s close). During this time, I sold 4 lots of shares to reduce my equity portfolio.
Since Tuesday, the STI reversed course and declined and is now trading below 2,700 points level. This is the situation with the stock markets. It rose with good news and declined with bad news. As long as there is news coming from the Eurozone countries, investors will react. How will it end? It now depends on how the Eurozone countries are going to find solutions to the sovereign debt crisis. It will be a long while before we see less volatility in the stock markets.
Copyright © 2011, limkimtong for Living Investment
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