Foreigners Invester Your Enemy Or Friend?
At the beginning of KLCI bull run, foreign invester are slowly buy in into Asia share market due to they know the USD value will drop. During end of March, USD vs Malaysia Ringgit still strong and we hear news saiding that USD value will hits RM3.60 per US doller and by that time foreign invester had stared change their asset out from USD into Asia.
We had see KLCI broken 1050 level is mainlly due to foreign fund invest in into Malaysia. Most of the fund did not invest much in buying property or set up businuss they only buy community, bound and share. I think they did not plan really want to invest into Malaysia, they just need a place to put they money in so that unaffected by USD devalue.
In addition, Malaysia allow foreigners can hold 70% of Malaysia finance firms also is a plus to Malaysia economic. Share market have countinues bull run for 50 tradings days and is far due to correction and this time Asia market was unaffected by US bad economic news especsially General Motors Corp (GM) bankruptcy news.
I think as long USD value is moving south, KLCI will countinues in bull run untill US economic stable down. We had see how share market drop from sky hight and how share market bull run like never ending story are all due to foreigne fund. They are the market mover, if you know they move sure you will found Gold in share market.
Foreigners fund is a double side sword that will been your enemy or friend, but for now they is ours frinds.
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