maybulk looks nice

KLK vomits blood

i wonder who gained most from supporting IOI...

based on today business section in NST..foreign fund outflows

HLeBroking: Foreign funds outflow worrying
FOREIGN investors are moving their money out of the country at an alarming rate due to domestic political uncertainties and record inflation rate, says HLeBroking Research.

"Funds are exiting the country at a worrying rate. In the first half of 2008, a total of RM125 billion funds was withdrawn from Malaysian shores. This first half 2008 outflow has already exceeded the total outflows of RM92.3 billion for the whole of last year.

"All in all, fund outflows are increasing drastically, while fund inflows are decreasing drastically from last year," it wrote in its Traders' Brief to its retail customers yesterday.

The local research firm said the effects of the outflow of funds can be seen from the selling out of Malaysian bonds and the ringgit.

"As a result of plunging bond prices, bond yields for the three-year Malaysian Government Securities is now at the alarming 4.18 level.

"Essentially, the loss of faith of foreign investors has increased the cost of funds for Malaysia in general, making it hard for people to raise funds to finance economic activities," it added.

HLeBroking Research said one factor causing international investors to withdraw their funds from the country was the political uncertainty.

"The Kuala Lumpur Composite Index (KLCI) was sold down, with drastic changes in foreign shareholdings, while prices of bonds begin depreciating sharply, increasing yield and, at the same time, the country's cost of raising new funds," it said.

The country's inflation also rose to a 26-year high of 8.5 per cent in July, following the fuel price hike a month earlier.

"When Bank Negara Malaysia failed to raise rates to protect the ringgit, investors began discounting the value of the inflated ringgit and immediately sold down the currency.

"Putting further pressure on our currency is the widening budget deficit. In end-August, the government announced a national budget crafted with the objective to spend more money to drive the country's slowing economy.

"Unfortunately, the increase in spending comes at the expense of widening the budget deficit from 3.1 per cent to 4.8 per cent of gross domestic product," HLeBroking Research said.



Since April of this year, the steep selldown of the ringgit has led to a 57 per cent loss of gains that it made against the US dollar since 2005.

"Fortunately, rating agency Standard & Poor's recently reaffirmed the sovereign ratings of Malaysia (foreign currency: A-/A-2; local currency: A+/A-1).

"Hence, we are of the opinion that the 3.5 resistance level would hold for now," HLeBroking Research said.

gamuda kena kao kao...RHB analyst just said IJM merger news was created by speculator to jack up the price

why osk188 down aldy...


tday ioi n klk bloodshed

wait la...karang tidur lepas 4pm dia sure bangun dari tidur...

next week lagi hebat

Eventually those money r belongs to us la..this EPF has been supporting IOI n related counters dun knw loss how much aldy

KLK n ioi like to listen to leona lewis song

goin to bloodshed on monday...foregin investors will run fast fast...who may knw, giv may freeze their assets n accuse them as racists

luckily i sold off all holdings 1.5mths ago

not in particular happy with Pacific Carrier forcing Maybulk telan the right issue

magic in the making

bro, trading times dun talk abt girl la

china steelmakers cut output by 20%...as such, bulk carriers will hv less biz ie. iron ore..no wonder BDI drop until 2000+........................

furthermore, PCL may presses Maybulk to undertake the right issue of RM800m+ ..so cash available will b minimal...

i still like this counter but need to observe BDI...