After a few weeks strong rally, when STI had finally exceed 3,000,  The investment market was jerked and turned north.

While investor may treat this as a normal correction, they should be more cautious and pay more attention to some recent events which may haunt the market for a period of time. Not to forget the latest Icelandic Volcano which has caused hundreds of millions of dollars worldwide.

China Tightens Property Measures

April 20 (Bloomberg) — China Tightens Rules on Uncompleted Homes Sales. China ordered developers not to take deposits for sales of uncompleted apartments without proper approval and barred them from charging “abnormally high” prices, stepping up efforts to prevent a property bubble.

As a result, China’s stocks fell to a two-month low as developers extended yesterday’s plunge, overshadowing gains for consumer and health-care companies after they were recommended by two of the nation’s top-ranked brokerages.

Goldman Sachs charged with fraud by SEC

(Reuters) – Goldman Sachs Group Inc was charged with fraud by the U.S. Securities and Exchange Commission over its marketing of a subprime mortgage product, igniting a battle between Wall Street’s most powerful bank and the nation’s top securities regulator

As a result, Asian Stocks Fall the Most in Two Months on Goldman Sachs Probe (Apr 19)

Thai protests escalate into violence

- Fullerton fund management (Apr 12)

After more than a month of anti-government protests, Thai politics took a tragic turn over the weekend, when army attempts to end a demonstration by the “red shirts” opposition party escalated into violence. At least 21 people were reportedly killed in the clash, with a further 858 injured.

The red shirts have been protesting in support of their demand for the resignation of prime minister Abhisit Vejjajiva, who came to power in a controversial parliamentary vote 16 months ago. Although initially peaceful, protesters invaded Parliament House on Wednesday, 7 April, prompting Thailand’s government to declare a state of emergency.

Although troops and protesters have maintained a ceasefire today, the Thai market had slumped by more than 5% by midday, the biggest decline in more than six months. The selling was led by foreign investors, who had been buying Thai stocks on hopes that a resolution to the political crisis would be forthcoming.

Famous Franklin Templeton fund manager Mark Mobius has also commented on Thailand’s situation