I suppose the smart money (foreign funds) is getting out of the KL market now. This is evidenced by two occurences.
One. The Ringgit is losing ground to the US dallar. It was trading at RM 3.18 to 1 USD late last month. Now it is close to RM3.42 to 1 USD. This could be due to foreign funds liquidating their stocks and converting their Ringgit to US dallars and transferring their USD out.
Two. The premium on the foreign tranche of shares on the Bursa is shrinking. Misc-F is trading at par with the local shares now. The premium on PBbank-F is only about 30 sen. This points to more selling than buying by foreigners.
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