On 19 July 2021, STI closed at 3, 111.20 which mean it is still an increase year to date given that the year started with 2858.90. However, just take a look at how the Covid-19 Situation is unfolding. I had previously shared my thoughts on the potential wave of the pandemic but people seemed to be confident on the vaccine.
Looking around the world, we are not alone first. Just when we thought that Singapore is good to go, the KTV cluster outbreak begin. However, if you dive deeper, our neighbouring countries are worst off than us with numbers increasing at a rapid rate. Nobody can say for sure if the drop is due to the raising cases or due to overall market sentiment.
At the time of writing on 19 July 2021, we see all 3 major indexes of US dropped by at least 1.5 %. Many articles claim that it is because of the increase in Delta Variant in the US. I believed this is not the only reason and I had also share a possible reason in my previous post.
This KTV Cluster is a good wake up call for investor. Travel and Tourism sectors will likely not recover yet. So my take is that we must not YOLO and enter them yet. This Pandemic is turning into an Endemic and the next time we could fly for leisure might be in a few years time. The nightlife sector in Singapore will likely also be hit too and the related stocks will likely take a hit.
I did mention in my previous post that I will re enter SG market if the price is good. This time round, it seem to be reaching my target earlier than expected.