There’s definitely an oversupply and intense competition. LCD makers are seeing one of the shortest recoveries in the industry.

With earnings growth likely to slow and stock valuations close to historic highs, investors should pick companies which can benefit from good domestic demand, and which have strong balance sheets.

When things are not looking good you have to go for defensive elements like strong balance sheet, high dividend yield and domestic plays.

Australia remains a concern due to its size. The consolation is growth from emerging markets in Indonesia, India and Thailand.

So far we haven’t come across a compelling investment proposition in any Singapore-listed China stock.

With all the issues going on in Singapore and Thailand, there will be some negative political noise but at the end of the day, investors will be more concerned about how good the company is.

For Singapore, it bodes well for its efforts to be a hub for Southeast Asia, offering companies international investors they can tap.

Hurricane Rita will definitely have an impact. We’ll see the market react and share prices move down.