Investors monitor falling share prices in front of a panel displaying the Hang Seng Index at a brokerage in Hong Kong, on Tuesday, January 22, 2008. Hong Kong shares prices have fallen dramatically, tumbling 8.0 per cent in the morning session as investors dumped stocks amid fears of a US recession. The benchmark Hang Seng Index fell 1,914.73 points to 21,904.13, the government radio said.
* For the first time in many months, value has emerged, at least in pockets. Not just for stocks, even the Sensex at around 17,000 trades only at 16 times 2008-09 earnings, not including the embedded value that lies in many large-caps. Sensex falls off 19th floor, plunges to 17th as US Panic and FII sell-offs trigger biggest-ever crash on Dalal Street.
* Sensex recorded its biggest ever single-day drop of 1,408.35 points, and investors lost notional wealth worth Rs. 6,63,975 crore.
* Philippine shares close 5.5 percent lower
* South Korean shares down 6.23 per cent
* Aussie stocks extend losses to 6 per cent
* Chinese share prices were sharply lower in Tuesday morning trade, losing 4.07 per cent, amid growing fears of a US recession after sharp selloffs overnight in overseas markets.
* Every fall has a lesson though: empty stories can run till a point but finally the market will whip the froth off. It is best to learn from this fall and move on, perhaps even use the next few difficult weeks to construct a high quality portfolio that is based on hard cash and earnings, shorn of hype and dreams. These may be tough days but it may well turn out to be the best buying opportunity of 2008.
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