Oct 13, 2008

Stock Market on Monday gains-in-the-East

The Stock Market on Monday, How Will it Pan Out - like last week or like Friday? Or will it be an inverse of Friday's opening behavior?
i.e will it rise fast and then give the gains away?
Reporting time at New York time: Sunday, Oct 12, 2008 9:20pm
(in the Eastern part of planet Earth: Monday, Oct 13, 2008)
- Nari, Soundarrajan. Blogger.

The Latest News coming in from the Eastern parts of the Globe indicates a positive trend in the markets right now. Futures markets in bloomberg also indicate a positive trend

DJIA futures are up 280, no 260 pts as I write this.

Turning our attention back to the "East"...

The New Zealand Stock Market's primary index is up 1% in the afternoon, after falling initially in the morning.
"After starting the day lower, the New Zealand market reversed early losses and was up over 1 percent in afternoon trading.

The benchmark NZX 50 started the day 20.734 points down at 2784.58, after falling 5 percent last Friday.

By early afternoon, the index reversed early losses, to move into positive territory, up 40.232 points, or 1.4 percent at 2845.541."
Reproduced from source: http://www.nzx.com/news/markets/4725582

AUSTRALIAN MARKETS are up close 5% in early trading. The major bounce has been helped by positive moves in bank shares.

This is mostly in response to the Aussie Prime Minister Kevin Rudd's guarantee that the Aussie Federal goverment would guarantee deposits of ANY SIZE in Australia for the next three years.
For more on the news follow this link.

You can imagine what kind of smart money + foreign institutional money that kind of safety net is going to bring in especially when you see negative yields in US and bank failures left and right.

Also I heard (saw on Japanese news feed) that UAE is guaranteering bank deposits. European leaders have pledged support for banks too. S. Korean and Singapore markets are also up. (news from BBC)

Hopefully this might move some positive money sitting on the sidelines to come in and also probably trigger some short covering - both which could lead to a quick upside gain in blue chip stocks and some key emerging market stocks. I am not giving any stock tips here because it is crazy out there and I have no clue just like anyone else. However, I am long on Bristol Myers (BMY) and I would stay long in a company I think is blue chip: ABB (any one agree?).

Update: Just found out that Japanese markets are going to be closed for some holiday -not Columbus day. I am also not too happy that the Driver License office in PA are closed on Sat for
Columbus day -and Monday is their usual closed date.
Update 2: Indian markets gained by about 4-5 % on confident measures by the Indian finance minister, who actually quoted the gains of East Asian markets to seek confidence and calm, duh!
Disclosure: Other joker stocks that I am long on are NAT, NCC, CHKE and CSR (China). I am not short on anything.

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