Some sort of correction was overdue. The market may now be moving into consolidation after recent sharp gains. There is still a good appetite for stocks.
We could have another surge in the markets later in the year, around September or October, as the economies show further signs of getting stronger.
The index's performance has been quite disappointing the last couple of days. I see no reason for the market to soften. There is quite a lot of money around which should support the market going forward.
A bit more good news could push the markets higher but any uncertainty could still shake them out.
The Hong Kong market takes the lead from Wall Street and, to a lesser extent, other overseas markets such as Tokyo.
Futures are still trying to point this market up. People are now beginning to say this market could reach 11,000 by the year end.
The market was very quiet because most investors didn't want to take any significant positions ahead of the Christmas holidays.