The positive momentum of 2006 is expected to cross over to 2007. With the concerted efforts of the government solidly behind the economy, the stock market is expected to be robust and bullish. In support of this expectation, the following factors have been taken into consideration:
1. The 9th Malaysia Plan
2. The tourism dollar
3. High oil palm prices
4. Strength of the ringgit
5. Maintenance of interest rate
6. Good prospective corporate earnings
7. Impending election.
The Malaysian ringgit will probably remain strong and improving. This will encourage the inflow of foreign money. As for tourism, much is needed to improve security. I hope the authority concern will look into this seriously making Malaysia a safe, attractive and desirous destination for foreigners, and for its people, a prosperous and happy nation.
God willing, VMY2007 will be a bullish year for the Malaysian stock market. America, Hong Kong, Singapore and Indonesia have all surpassed their previous high levels. We are odds on to follow suit.
Three cheers for a prosperous VMY2007!
Happy New Year.
