Caution, uncertainty and wait and see.

19  Jan 2019

Dear Fellow Investor,

Some of my friends have been attending Malaysian/Singapore/ Asian  market outlook talks by major brokers and asset managers.

The consensus opinion among these prominent experts is caution, uncertainty and wait and see.

The problem with wait and see  is that while you wait you may miss  opportunities and you might wind up buying the high.

As long as the company you are interested in is a solid well managed business, pays a reasonable dividend and offered at an attractive price you can buy it.

 It’s the same as buying a house to live in in an economic slowdown .  If the house is well located, reasonably priced in a growing area with solid infrastructure, why not consider to buy ?  

Because there is so much negative news and uncertainty about the economy, you should be able to get a good deal.  You might be able to undercut the seller.

That is the situation in the Asian stock markets now.

There are many fine value shares trading at attractive levels.

As long as the probabilities favour your play, go for it.

The major world market correction in 2018  was caused in part by the trade wars, higher interest rates, recession fears and the current bluster between Trump and the deep state. 

The Chinese, the sovereign wealth funds, deep state operatives, the liberal socialist media  were doing all they could to get rid of Trump by collapsing the market .

They failed.

Semiconductor, manufacturing and banking stocks are leading the way up. Solid blue chips are recovering.

The US has paused interest rate hikes, the US Dollar is weakening, and it looks like China and the US are resolving the trade issues.  

In this business you need brass balls, not a crystal ball.

Invest well and grow your wealth, Bill

Critters of the week

 "Family Portrait" by Canadian photographer Connor Stefanison.  The caption reads "A great grey owl and her chicks sit in their nest in the broken top of a Douglas fir tree in Kamloops, B.C....Canada. They looked towards Connor only twice as he watched them during the nesting season from a tree hide 50 feet (15 metres) up."