Though the budget has some allocations for people in need. We are completely unconvinced giving out money for those low Income level defined.  The money should be focused into mid to long term segmented education development.  Giving out money is never a good approach even in developed Economy.   

Many tweaks here and there for property segment. Overall we think it is going to be lacklustre again in 2017.  But we still believe another round of rate cut is on hand before year end will be good enough.

A not very exciting budget and not so straight forward policies may harden the execution of the budget and incentives.  

In short, we do not see an exciting budget which I believe during this special period. An increase deficit is the right move but focus into high impact and straight forward areas.  

In relation to stocks watch over budget.  Mostly GLCs in construction, finance and properties are going to benefits from budget 2017.  

China consistent growth of 6.7% supports our confidence in mild recovery for 2017.  Our perspective on mild growth, mild inflation will be the character of 2017.  In fact a long period to come will be the same situation.

If base on reverse of rate hike trend.  Possibly between 25 to 100 basis points in next five years.  We don’t see the fair value truly reflected.  We think USD is over bought and possibly peak in sentiment very soon.

I don’t know what are those Fund managers comments about loyalty. Yes, there are always Android users and there are lots of Apple fans.  But they have forgotten also most gadget users can hang around two OS.  At least there are neutral users for that segment will likely to go to Apple.  

RM already weaken a lot since 2 years ago.  Personally I don’t see it is important worry if another round of rate cut will impact too much.  On the other hand, it will help to boost internal consumption that we see things gradually turning around while still fragile.

We have closed off all futures positions except Apple with continuous long position held.  Sterling dumpling, Oil back to above USD 50 and heading to USD 60.  Bitcoins staying around 600.

No one will always got 100% right in investment. However, practising focus on your winning and cutting your losses quick is important. If I am wrong at some points, I will cut loss and reportfolio. If I feel that’s a right decision. I will continue to focus buying up until it is at a fully valued at my perception.

We have been buying into MBSB when ever a price dip in the week. We always believe good opportunity never come twice easily.

This is the 5th time we long Apple in 2 weeks.  We longed Apple after the announcement of iPhone 7.0 and price dropped back to USD 113 level.  We believe IPhone 7.0 hit the hot button and will do well in 2017.

Gamuda and Gadang are getting a lot of support in speculation more projects will be awarded.  Especially Gamuda-WE with persisted buying volume continuous emerged.  

As for Gadang, beside of speculative play. It’s EPS is stabilizing and with the announcement of bonus issues and free warrant will further boost short term buying interest.

We sold Gadang before and we have bought back some at RM 2.93 and Gamuda-We at RM 1.33. 

We expect also both fiscal and monetary assistance to property segment soon.  However we still think it is not the best time to invest property Stocks as the slow economy will prolong.