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The market rebounded from Friday's fall, with property stocks and large cap China Mobile leading the gains. Tokyo market's rally this morning boosted market sentiment.
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The profit-taking is quite obvious this morning. The current factors and the fundamentals can't support the index to go up further. At this level, the upside is limited.
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The market gains, led by heavyweight China Mobile, were underpinned by heavy purchases from institutional investors.
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Most investors still believe the influx of cash, or the influx of external funds, will continue.
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The market was not affected by negative news such as (expected) further rate hikes.
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The market just showed mild profit-taking in morning trade but the losses were limited. It turned higher in the afternoon as funds started buying blue chips such as China Mobile again.
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Funds' selective buying helped support the index. The market extended its gains in late trade also due to some futures-related trading.
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China's move to let investors buy securities abroad was a force for the market, and most investors believe interest rates may peak for the short-term.
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The market seems to be overshooting. The metal stocks are going crazy.
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The market saw a technical rebound after recent sharp fall, with scores of investors hunting for bargains in select blue chips.
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China-related stocks will likely to be hit by the austerity measures. I expect further correction in China stocks in the short term.
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The market has corrected about 600 points from the high, so at this moment, the momentum has come back and there will be opportunity for a rebound.
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There are more negatives out there than anything to lift the market.
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The market was largely supported by the property sector as interest rate worries eased after the release of the US Fed minutes.
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Property and banking stocks will continue to be the drivers of the market with people expecting the interest rate hike cycle nearing its peak.
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