Asia Investment Views 29 Oct29 October, 2010, 9:24. Posted by Zarathustra
Tags: Asian daily (Discontinued), Investment
US markets were mixed and little change, while European markets were largely up. The US markets opened higher, but DJIA turned negative in late morning, after 3M (MMM.N) fell after cutting forecast, while Microsoft (MSFT.O) earning beats estimates (but not Apple, that’s what they say). We have also got the jobless claims number, which dropped to 434,000, better than estimates. Dollar Index (DXY) weakened a bit yesterday, but again strengthening now. In early morning trading, Japan market is down.
We had some curious news yesterday that the Fed asked primary dealers for their expectation of the coming policy decision making. New York Fed said it was not something unusual, but certainly many people thought it was. However, if you ask Wall Street firms “How much QE you want?”, I guess they would answer the largest number they wish.
HK/China equities preview
Hong Kong stocks traded in ADR looked higher, but the DXY strengthened a bit this morning and Japan market is dropping, so it seems to be a mixed bag. ICBC (1398.HK) was in-line with estimates, while Bank of Communication (3328.HK) results were below estimates.
We have got some rather tough talks from the Financial Secretary John Tsang yesterday on Hong Kong home prices. He thinks home prices are expensive that the government shall do something to curb home prices, but ruled-out de-pegging Hong Kong dollar with the US, which is the root of all evil. On the other hand, Robert Ng, the Chairman of Sino Land (83.HK) said there is no bubble. Of course, readers should be reminded that Sino Land bought a site at record price in 1997 which almost brought the company to collapse after the crash the property bubble.