Future looks bright...

Leon · 1 Future looks bright... Thu Dec 27, 2012 5:17 pm

Leon

Assistant Vice President - Equity Analytics

Posts : 735
Equity Stars : 5712
Reputation : 33
Join date : 2011-08-06

Hello Friends...

Y'day I had a chat with my broker (CT) and they are quite optimistic on the market. Unlike other holiday times this time the market is not coming down. Instead it's roaring to move. I think market didn't get much time to react to the policy changes made by CBSL. So I think beginning of the 2013 will be interesting to see.
How do you all think??

sahan8896 · 2 Re: Future looks bright... Thu Dec 27, 2012 6:14 pm

sahan8896

Assistant Vice President - Equity Analytics

Posts : 933
Equity Stars : 5775
Reputation : 53
Join date : 2011-08-27

future is bright.

Redbulls · 3 Re: Future looks bright... Thu Dec 27, 2012 7:21 pm

Redbulls

Director - Equity Analytics

Posts : 6053
Equity Stars : 16076
Reputation : 770
Join date : 2012-02-14

http://forum.srilankaequity.com/t25144-bourse-sluggish-as-brokers-look-to-2013-growth-cycle

Whitebull · 4 Re: Future looks bright... Thu Dec 27, 2012 7:58 pm

Whitebull

Assistant Vice President - Equity Analytics

Posts : 876
Equity Stars : 5400
Reputation : 33
Join date : 2012-05-15

Leon wrote:Hello Friends...

Y'day I had a chat with my broker (CT) and they are quite optimistic on the market. . Instead it's roaring to move. I think market didn't get much time to react to the policy changes made by CBSL. So I think beginning of the 2013 will be interesting to see.
How do you all think??

I think future would be good but I can not see a valid reason for market to move up suddenly.So I think Patience will win.

Unlike other holiday times this time the market is not coming down

I think main reason for this is, it has already came down significantly. Most of the liquid money is alredy out from the market.

kukumarx · 5 Re: Future looks bright... Fri Dec 28, 2012 2:18 pm

kukumarx

Manager - Equity Analytics

Posts : 128
Equity Stars : 4330
Reputation : 19
Join date : 2012-12-11

As long as interest rates remain high, market will be flat. The govt is posturing by reducing interest rates. But can they sustain it? Unlikely. If we consider the BOC to be a proxy for the govt thinking, then BOC's 5 year debentures at 16 % indicates that interest rates will continue to remain high.

There is also a huge overhang of shares bought during the peak which are to be sold to move into fixed income.This will act a damper on any growth in the market. The waiver on income tax on debenture interest also makes debentures more attractive.

International scenario is also bleak. And the slowdown locally will continue at least for the next year So what can drive the market up?

Individual shares will of course move up and down and money could be made on those.

But personally feel the market will be more or less flat during 2013

traderathome · 6 Re: Future looks bright... Fri Dec 28, 2012 2:42 pm

traderathome

Senior Vice President - Equity Analytics

Posts : 2485
Equity Stars : 7200
Reputation : 133
Join date : 2012-02-26
Age : 50
Location : Abu Dhabi

ena widiyata muhuna demu Cool

sahan8896 · 7 Re: Future looks bright... Fri Dec 28, 2012 2:59 pm

sahan8896

Assistant Vice President - Equity Analytics

Posts : 933
Equity Stars : 5775
Reputation : 53
Join date : 2011-08-27

Unless there's some force selling next week,all have missed the bus.get on board soon.

Antonym · 8 Re: Future looks bright... Fri Dec 28, 2012 5:42 pm

Antonym

Vice President - Equity Analytics

Posts : 1090
Equity Stars : 7458
Reputation : 275
Join date : 2011-02-09

I could be wrong, but what we are seeing could be a 'Santa Claus Rally'.

Santa Claus Rally: A surge in the price of stocks that often occurs in the week between Christmas and New Year's Day. There are numerous explanations for the Santa Claus Rally phenomenon, including tax considerations, happiness around the stock exchange, people investing their Christmas bonuses and the fact that the pessimists are usually on vacation this week.

Many consider the Santa Claus rally to be a result of people buying stocks in anticipation of the rise in stock prices during the month of January, otherwise known as the January effect.

(Source: www.investopedia.com)