“It was the best of times, it was the worst of times, it was the age of wisdom, ... for good or for evil……” Charles Dickens once said. As for investors in Hong Kong, no doubt they have seen both this year when the market broke the record high to 33,154 on 29thJanuary, and hit the lowest at 24,172 on 26th October this year.
What frightened the market most was, not only had it dropped 8,982 points in between, a difference of 27 %, but also that we are not sure where the bottom is? In other words, the worst may yet to come.
It all depends on how likely US and China trade war is to play out? It depends on what measures China is going to adopt to boost up its market and support its financial system?
But we can’t ignore the fact that Hong Kong’s stock market being regarded as the exemplar of a free market would fall into prey by design of its own system when investors would simply place an call option when the market is going down, to make profit.
So what’s the challenge of Hong Kong stock market in the year to come? How likely can it stand on its own feet when drums of trade war can be heard from afar?
Our guest, Adviser of Hong Kong CASH Premium Investment, Peter Lai, would shed us some light about this.
