Dear Friends,

 The month of March is interesting indeed. We have quite a number of events that as investors, we have to analysis the impact. On the other hand, the rest of the world is doing well and humming along quite nicely. Here are some of the impt events of March 2011.

 Japan Earthquake, Tsunami and Nuclear disaster lead to a big correction in global markets as the world fears that the 3rd largest economy in the world will spiral into a recession due to the strain placed by the triple disasters. The world markets have mostly recovered since than.

  • UN stepped in to take military action to aid the Libiya citizens on grounds of humanitarian aid and preventing the military from killing innocent civiliance. Analyst predict that the conflict will end much faster due to the pressure on the ruling government
  • US financial situation continues to improve with unemployment seeing signs of falling. US corporate profits are expected to improve significantly in the first quarter.
  • Oil and Gold prices hit a record high as unrest in middle east and multiple natural disasters lead to a shortage of supply of food and resources.
  • SGD has appreciated significantly against USD off setting the gains in commodities prices.

 Good news here. Asia markets have performed significantly better for the past months and is catching up with the US indices in terms of gains. From a technical analysis point of view, many markets are breaking out from their sideways movement and is trending upwards again. STI is expected to regain 3200 soon. March is also a good month for SEA as it outperformed the rest of the other sectors and country. China is starting to perform now that the urgency of tightening their market gets less and less everyday. Best performing market for the month is Korea and the worse, as expected is disaster hit Japan.

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