PUTRAJAYA, Dec 31 (Bernama) -- Come 2008, the Malaysian stock market is expected to experience a volatile phase following the fallout from the subprime mortgage crisis which has not been fully resolved in the United States, according to the Malaysian Investors Association (MIA).
ts president Datuk P.H.S. Lim said in the first quarter of 2008, "we will see write-downs and losses to be borne by overseas financial institutions that will somehow affect Wall Street"."Foreign institutions like Citibank, UBS and Merrill Lynch are now looking for capital injections because the subprime disrupted the liquidity in the financial market globally," he told Bernama here.
Due to the crisis, the US experienced one of its most sluggish home sales in 20 years and the tighter credit conditions would result in a slowdown of its economy, Lim said.
He said the US debt financing problem would affect the financial services sector globally despite some help from the Chinese, Indian and Russian markets.
In the case of Malaysia, the US was still an important market for the country's exports, especially electrical and electronic goods, he added.
However, Lim said Malaysia was still blessed with natural resources like palm oil, timber, rubber and petroleum that would help to cushion the shortfall in the stock market.
"Commodity exports from resource industries such as palm oil which experienced an all-time high recently, timber and rubber-based products will be boosted by strong demand from China and emerging markets," he said.
Lim said the stock market was no longer the same as years ago when the Kuala Lumpur Composite Index (KLCI) stood below the 1,000 mark, with the blue chips now priced neither too high or too low.
"We don't see strong growth but expect at least five to 10 percent margin on the shares return," he said.
The sectors that are expected to perform well include palm oil, timber and rubber-based industries, according to Lim.
He said the cement, steel, and oil and gas sectors are still considered attractive by investors.
"Fundamentals play an important part in determining the financial market's performance in Malaysia because investors will be more selective at this point of time," he added.
-- BERNAMA
Comments (2)
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written by Bukit Chandan, December 31, 2007 08:52:36
written by Bukit Chandan, December 31, 2007 08:52:36
Pete,
Lately, we are seeing that the Government of Malaysia is trying to frighten her citizens. Islam does not preach to make a human being be frightened of another human being. Islam preaches that a human being should be frightened of Allah s.w.t. only. In that way, a Muslim will not do wrongful deeds. We believe that all other religions also have this universal concept. So, we strongly urge the Government of Malaysia to immediately stop frightening the people.
From time to time, we will publish our C-List. Today, the following is the latest list:
No. Name Role Date Logged
----------------------------------------
1. Khairy Jamaluddin Abu Bakar UMNO 21-Nov-07
2. Musa Hassan IGP of RMP 21-Nov-07
3. Ahmad Said Hamdan DG of ACA 21-Nov-07
4. Abdul Rashid Abdul Rahman Chairman of EC 21-Nov-07
5. Noor Hisham Yusoh UMNO 21-Nov-07
6. Wan Mohd Safiain Wan Hasan UMNO 22-Nov-07
7. Mohd Johari Baharum Deputy Minister of Internal Security 22-Nov-07
8. Zakaria Md Deros UMNO22-Nov-07
9. Mohd Khir Toyo MB of Selangor 22-Nov-07
10. Khalil Yaakob MB of Pahang 22-Nov-07
11. Osu Sukam PBS 22-Nov-07
12. VK Lingam Lawyer 22-Nov-07
13. Musa Aman CM of Sabah 22-Nov-07
14. Ramli Yusoff Director of CCD RMP 23-Nov-07
15. Abdul Taib mahmud CM of Sarawak 23-Nov-07
16. Vincent Tan Gambling Kingpin 27-Nov-07
17. Tengku Adnan Tengku Mansor Minister of Tourism 27-Nov-07
18. Chong Kah Kiat Ex-CM of Sabah 19-Dec-07
19. BK Tan Organized Crime Syndicate 23-Dec-07
20. CP Goh Organized Crime Syndicate 23-Dec-07
21. Abdul Ghani Patail Attorney General 23-Dec-07
22. Christopher Wan Soo Kee Director of CID RMP 23-Dec-07
23. Kalimullah Hassan Advisor of PM 28-Dec-07
24. Zaki Azmi Advisor of PM 28-Dec-07
25. Omar Ong Advisor of PM 28-Dec-07
26. Norza Zakaria Advisor of PM 28-Dec-07
27. Rafidah Aziz Minister of International Trade and Industry 31-Dec-07
29. Azalina Othman Minister of Youth & Sports 31-Dec-07
30. Mahathir Mohamad Ex-PM of Malaysia 31-Dec-07
Best Regards.........
This e-mail address is being protected from spambots. You need JavaScript enabled to view it
Lately, we are seeing that the Government of Malaysia is trying to frighten her citizens. Islam does not preach to make a human being be frightened of another human being. Islam preaches that a human being should be frightened of Allah s.w.t. only. In that way, a Muslim will not do wrongful deeds. We believe that all other religions also have this universal concept. So, we strongly urge the Government of Malaysia to immediately stop frightening the people.
From time to time, we will publish our C-List. Today, the following is the latest list:
No. Name Role Date Logged
----------------------------------------
1. Khairy Jamaluddin Abu Bakar UMNO 21-Nov-07
2. Musa Hassan IGP of RMP 21-Nov-07
3. Ahmad Said Hamdan DG of ACA 21-Nov-07
4. Abdul Rashid Abdul Rahman Chairman of EC 21-Nov-07
5. Noor Hisham Yusoh UMNO 21-Nov-07
6. Wan Mohd Safiain Wan Hasan UMNO 22-Nov-07
7. Mohd Johari Baharum Deputy Minister of Internal Security 22-Nov-07
8. Zakaria Md Deros UMNO22-Nov-07
9. Mohd Khir Toyo MB of Selangor 22-Nov-07
10. Khalil Yaakob MB of Pahang 22-Nov-07
11. Osu Sukam PBS 22-Nov-07
12. VK Lingam Lawyer 22-Nov-07
13. Musa Aman CM of Sabah 22-Nov-07
14. Ramli Yusoff Director of CCD RMP 23-Nov-07
15. Abdul Taib mahmud CM of Sarawak 23-Nov-07
16. Vincent Tan Gambling Kingpin 27-Nov-07
17. Tengku Adnan Tengku Mansor Minister of Tourism 27-Nov-07
18. Chong Kah Kiat Ex-CM of Sabah 19-Dec-07
19. BK Tan Organized Crime Syndicate 23-Dec-07
20. CP Goh Organized Crime Syndicate 23-Dec-07
21. Abdul Ghani Patail Attorney General 23-Dec-07
22. Christopher Wan Soo Kee Director of CID RMP 23-Dec-07
23. Kalimullah Hassan Advisor of PM 28-Dec-07
24. Zaki Azmi Advisor of PM 28-Dec-07
25. Omar Ong Advisor of PM 28-Dec-07
26. Norza Zakaria Advisor of PM 28-Dec-07
27. Rafidah Aziz Minister of International Trade and Industry 31-Dec-07
29. Azalina Othman Minister of Youth & Sports 31-Dec-07
30. Mahathir Mohamad Ex-PM of Malaysia 31-Dec-07
Best Regards.........
This e-mail address is being protected from spambots. You need JavaScript enabled to view it
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