omg crude oil down 3 dollars.

now at USD112/barrel.

Now more than 3 bucks per barrel. Plantation counters G.A.M.E O.V.E.R

Latest update, China is going to cancel CPO deal with us. Both China and india are going to stop import palm oil from us. Plantation stock is in deep trouble now. ++ Oil price dip.....

haiyo, where did u read this, if its true.. looks like i have to sell my Kulim too..

Bye Bye IOI, KEPONG....see you at low 4 ringgits...

KULIM is one of the counter that i am monitoring.

it goes up from 7.2X to 9.XX, and now coming down to 7.2X again.

what price did you buy?

7.25 in April .. it owns Qsr n Kfc .. but it has large palm oils too...

if what darkknight said is true...wah.. it will goes down futher... but if its just rumours should not b worried so much...

oh i got mine about the same month as you, i got it for 7.20, sold it too early at 7.90

I personally think that China and India are playing with the "supply and demand" thing. They want to slower down their demand (They are having reserve now) to let the price of CPO getting lower then they can get new agreement with Malaysia with lower price. Thats y as a CPO producer we need to control our supply in order to control the pricing. If not we will be fool by them.

Wow, we have a OSK broker spamming the msg board. Business must be really bad huh?

Just want to share with you guys. Today I met a client who is in plantation field, I ask him how much plam oil is reasonable. He told me their cost is below RM900, even RM1000 they can make money already. Hence the price now at near RM2000 is way to be adjusted.

IOI Corp, I am waiting for you ya !

Compare to Rm 3000/ tonne and RM 900/TONne lets say... What do you think of the profit margin will be??

The EPS will be at least more than double of lets says RM 3000....
Its stil not the time to catch this counter yet. I am waiting it to go down below RM 4.00

In stock market, the criteria to support the share price is make enough money aka generate enough return to the shareholders. Simple make money or profit is not enough, must make enough, otherwise share price will adjust according to the profitability of a company.

Eg.
Company's EPS is 10 cents and will be the same in the futrure, if share price is 5.00. It is hard to find a reason for investors to buy the share at 5.00 which implied 2% return rate only. It is much better put in FD, easier and safer.

It is a relativity issue, not as direct as got profit already can consider good already.

I will get in when the crude oil price is low enough to rebound.

Added information, Europe will cut the contain of palm oil in the bio mixed fuel from 5.35% to 5%. I become interested in plantation counters due to the potential need of palm oil in fuel. But Warren Buffet invested in electric powered vehicle made me wondering, which is the trend of the fuel in future ?

Palm oil rely on convention crude oil to get its value, whereas electricity is a standalone power supply and less polluted. Seems electricity stands better future.

Hope Palm oil remains as the main and populor cooking oil consumed.

This post has been edited by rayloo: Oct 4 2008, 06:23 PM

Really depends which is more viable. A lot of people are against palm oil to be used as bio-diesel because it would raised food prices further.

Electricity still needs some form of fuel to generate it at power plants. Maybe for small cars, it's easier to go towards electricity charged energy but for heavy vehicles and commercial industries would not be easily powered by electricity.

Haha surprisingly no one is pushing for solar powered cars, since it is free and no one can profit from it.

Just want to tell you plantation stock is the most riskly counter in KLSE .... They are being bubbled during commodity boom and i beliv they still haven bottom out yet...I beliv no need to be rush for these counter as i beliv they cannot stand up for at least until next year...THey might still keep on vomit blood until they are heal

This post has been edited by darkknight81: Oct 5 2008, 08:24 AM

I think the fair market price for IOI is about RM3.70, but I only stock in at the 30% to 50% discounted price from RM3.70 like other counters. Don know can get or not...but that is no reason to buy at fair market value during promotion period mah !!!

I'm waiting IOI to drop further. RM3 is my target.

For solar powered, it is more on its technology limitation which hinder the development of it. A solar panel of the size of a car probably can light up your house, but not to drive a car at 40 - 60km/hour which need pickup and break in between. Solar generate low amount of electricity only.

As now, electricity has more chance, as electricity power can get rid of oil depended issue through nuclear.

Our G will develop nuclear power plant within the next 15 years according to an article in the newspaper recently.