US-EU TRADE TENSIONS AVERTED, SINGAPORE STOCKS TO REBOUND NEXT?

Dear readers, overnight, US stocks rallied on the back of trade tensions between US and EU being averted. And yesterday, Singapore stocks put up a bullish performance as the STI Index rallied 1.04% which was a performance not seen in recent sessions. Many blue-chip stocks were yesterday’s top gainers. These names included UOB, OCBC, SIA, DBS, SATS, Jardone C&C, Starhub, CityDevelopment, Capitaland, UOL, ComfortDelgo, F&N and ST Engineering. With such strong showing by the STI yesterday and the overnight trade tensions aversions between US and EU, is it time that the Singapore stocks rebounded and turn bullish?

In my opinion, the Singapore stocks are far from a recovery or a rebound from the current bottom. This is because the macro factors still mainly in the form of trade tensions especially between US and China will stifle whatever positive catalysts or positive investment sentiments. As if trade tensions are not sufficient enough, there is another geopolitical factor at play now: that of US and Iranian relationships.

Investors should not fear stocks markets corrections but treat it as an opportunity to load up on good stocks at good discounts. Join the emailing list to receive regular Financial and Singapore stocks newsletters too! Like" me on Singapore Stocks Investing Facebook page to receive all posts on your Facebook as well as read more articles. Follow me on Twitter too.