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To: wlheatmoon who wrote (6768)	1/25/1999 12:29:00 PM
From: Thean	Read Replies (1) \| Respond to of 14427

MKC, Thanks for the link. One note about Malaysia stock market though, KL Composite broke 600 the other day and that was a pretty big mark it broke. As to real economic recovery, it is pretty safe to say the bottom is in, but if the country makes positive GNP growth for two consecutive quarters, I will believe the worst is over. Coincidentally, the saying about the stock market leading the show 6 months early is a fruit for thought here. If real economic growth does not materialize, the bottom will cave in once more. Can't emphasize the overcapacity situation in Malaysia and the Twin Tower is just the prime example of the talking piece. Everywhere one looks we see newly built, some half built, unoccupied buildings. It will definitely take more than full steam economic recovery to make these building occupied one day - it will need thousands of more people to take them up! With the demographic growth as fast it is, this too will take more than a year. Net, I don't believe in a real, sustainable economic recovery this year in Malaysia. But as to its stock market, capital control has its advantage of allowing no foreign short sellers in an only "long" market. The local bourses allows no short selling and option/future opportunities are limited to minor commodities only. MF and Web Malaysia are two open-ended funds invested strictly in Malaysia.