ST Index down to 3100 point, what's next?

To add, 2007 is the year when the stock market is running and the economy is booming. There is fear that there is insatiable demand for oil. The opposite is true now, we are in a recovery stage and are worried that high oil prices will derail the precious recovery. So for oil prices to run towards 150, the conditions might not be there. Second, the fear of high oil prices causes the VIX to swing to and fro reading of 30. VIX is far from approaching it. Unless VIX start spiking, I think that the correction is almost done will be a likelier scenario.

STI falls by more than 3%, is this a good buying opportunity or herald the start of a bear market.
well, an analyst from reuters think thinks its a buying opportunity
sg.finance.yahoo.com/news/Singapore-Stoc...-3627489260.html?x=0
 
CIMB technical anaylysis of STI think its the herald of a bear market, as they mention it can visit 2009 lows.
www.remisiers.org/cms_images/SIN-Daybreak-_1403111.pdf
Well, I vote with my money and re-enter to get Hu An at 34 cents. Hope its the first scenario.
Regards,

Buy or sell? The SG stocks are already down so much it doesn’t seem right to be selling. But embrace risks now? Rationally, people should have faith in Japan’s ability to get back on its feet. This is the world’s third largest economy, after all. The people are resilient and Japan will surely grow again.
We should be optimistic about Japan’s future – it’s a good approach as a human being, as well as an investor.

from Bloomberg this morning:


“It’s unlikely that the Japanese nuclear situation is going to spread beyond the local area, so sanity prevailed here at the end of the day,” said John Barr, a portfolio manager at Needham Asset Management LLC, which manages about $900 million. “We will have supply chain disruptions in many companies for a while from this, but investors became more confident that the global economy is going to work its way through this.”

Trading in a U.S. exchange-traded fund linked to Japanese stocks showed investors expect shares in the world’s third- largest economy may rebound when trading resumes in Tokyo.

Japanese stocks rose for the first time in five days on speculation a selloff yesterday that drove valuations to a 28-month low was excessive.
Honda Motor Co., the country’s second-largest carmaker by sales, leapt 5.6 percent. Toshiba Corp., a maker of nuclear reactors, soared 10 percent. Mizuho Financial Group Inc., Japan ’s third-biggest bank, surged 8.5 percent. Tokyo Electric Power Co., Asia’s biggest power generator, was set to tumble after the company said today a new fire broke out at a reactor following an earthquake on March 11.
The Nikkei 225 Stock Average rose 5.4 percent to 9,069.26 as of 9:12 a.m. in Tokyo. The gauge plunged 11 percent yesterday as record trading volume on the main section of the Tokyo Stock Exchange drove the average price of shares in the Nikkei to 14.7 times estimated profit, the lowest level since November 2008.
“Japanese stocks are at a relatively cheap level,” said Hiroichi Nishi , an equities manager in Tokyo at Nikko Cordial Securities Inc. “The U.S. economy is recovering and the economies of China and other emerging countries aren’t deteriorating.”