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Dear readers, yes, the previous trading week had not been kind to Singapore stocks, or the global stocks to be exact. Having taken the cue from its American counterparts, Singapore stocks markets declined quite remarkably in the previous trading week. Against the current market backdrop, let us take a look at which of the STI stocks had been oversold as a result of the recent market correction.
WHAT ARE THE COMMON SIGNS OF A STOCK MARKETS CORRECTIONS?
There are several common signs that can indicate a stock market correction may be on the horizon. Some of these signs include: Increasing volatility: If the stock market starts to experience greater fluctuations in price movements, this can be a sign that a correction may be imminent. High levels of market speculation: When investors are overly optimistic and buying stocks at inflated prices, it can lead to a stock market correction as valuations become unsustainable. A declining market breadth: If fewer stocks are participating in market gains and the majority of stocks are lagging behind, it can be a sign that a correction is on the horizon. Rising interest rates: Higher interest rates can put pressure on stocks, as borrowing costs increase and reduce corporate earnings. Economic indicators turning negative: Signs of a slowing economy, such as declining consumer spending or rising unemployment, can lead to a stock market correction. Insider selling: If company insid...