Understanding Donald Trump's Win

Yesterday selloff was no joke! Foreign funds sold almost 700 million! Do we going to see massive selling next week! Let's see how things unfold next week! It has been a very shocking week! So shocking that it leaves a bad hangover, worst hangover ever!

(An extract from a post in i3Investor)

I think Trump's big win caught everyone by surprise. I had even predicted that Hillary Clinton will win. But what was MOST surprising was the way the financial markets reacted to Trump's win ...a mini-crash in US stock market then a sharp Trump rally for the US markets ...for Bursa and Ringgit it was drop and drop.

I think Trump's win will be good for America but bad for Malaysia. Part of his pre-election plans were to help America regain its' former glory by "hentam" other nations which he accused them of robbing Americans of their jobs and businesses.

And with Trump coming in as President, his other promise to improve and build infrastructures there creating inflation....made my 2nd prediction might come true after all - the US Fed will raise interest rate in their December 2016 Fed meeting!

This could be the reason why the RM dropped to 4.37 as yield investors took their money off our MGS and stock market to be repatriated back to USA.

Let's see how things develop from here.