18th CLSA Feng Shui Index: helping you predict the unpredictable in the year of the Black Water Dragon
18 January, 2012
Hong Kong - Wednesday, 18 January 2012 - CLSA Asia-Pacific Markets (“CLSA”), Asia’s leading independent brokerage and investment group, today launched its 18th CLSA Feng Shui Index (“CLSA FSI”) – a tongue-in-cheek look at what’s in store for the Hang Seng, key market sectors, world leaders and celebrities, and each of the Chinese zodiac signs during this year of the Black Water Dragon.
The last time the Water Dragon emerged from the lake was 1952 – when, encouragingly, the Dow Jones Industrial Average finished well up, but not without a struggle. And if promise were payment, investors could probably retire on the potential of this year. Significantly for investors, the Dragon is regarded as a major game-changer – but it is also an unpredictable beast and the CLSA FSI sees a big contrast in the Hang Seng Index’s performance over the two halves.
Once again, this year’s CLSA FSI features a month-by-month guide to the Hang Seng Index; forecasts for key market sectors; predictions for each of the 12 Chinese zodiac signs; a feng shui property guide for Hong Kong; fates of the famous such as the man set to take charge of the world’s second-biggest economy (Xi Jinping) and the woman at the centre of the current European debt crisis (Angela Merkel) and much more.
Among the new features in this year’s CLSA FSI are percentage weightings for the five elements (metal, water, wood, fire and earth) each month and comprehensive, if cryptic, flying-star charts that allow for more-focused forecasts.
The CLSA FSI forecasts a slow start to the year, with the Dragon sinking like a sun-cracked crocodile back into its lagoon. March isn’t much better, with the West highlighted as the best direction for money. With Fire flaring only fleetingly and little Metal evident for much of the first six months, the CLSA FSI expects a sluggish performance during the 1H, as the market slides further over May, June and July.
The tipping point should come in August, according to the CLSA FSI, as the Dragon turns sharply and heads north at a rapid pace. If our celestial readings are right, September should be one of the best months of the year, with plenty of activity in the markets. This sustained upward trend should continue into October and November. Come December, the Dragon appears to run out of steam, but the CLSA FSI sees no major correction, as the market shuffles sideways through to the end of January.
Sector-focused investors should pay attention to Cement, Gaming, Property, Tourism and Transport in the Year of the Dragon as these are all sectors rated as ‘fair’ to ‘fab’ in our CLSA FSI this year; Cement in particular likely to fare exceptionally well.
In terms of the zodiac signs, a ‘fab’ year lies ahead for those born in the years of the Rat, Tiger, Rabbit, Monkey and the Rooster; while Cows and Dogs may need to take a little extra care.
We foresee a ‘fab’ year for Queen Elizabeth II, a Fire Tiger who will celebrate her Diamond Jubilee, having been on the throne for one full 60-year cycle of the Chinese zodiac. Her lucky element, Water, is simply an icing on the cake. Not to be undone, Thai Prime Minister Yingluck Shinawatra, a Fire Sheep, is also set to have a ‘fair to fab’ year.
Please remember that our Feng Shui Index is offered with our tongues firmly in our cheeks. We’ll be happy if we are only half right – so long as it’s the second half!
- end -
About the CLSA Feng Shui Index
The CLSA Feng Shui Index began life as a Chinese New Year card for clients in 1992, with a simple summary of forecasts by feng shui masters and the views of our own consultant. To flesh it out, we also predicted the performance of the Hang Seng Index based on the investment omens. No one paid much attention to the contrarian chart, but by year’s end it had correctly called all seven of the Hang Seng’s major turns. Now renowned by investors globally, the CLSA Feng Shui Index took a break during the bull run from 2005 to 2008. Much missed, it was revived in 2009. This year’s CLSA Feng Shui Index is our 18th edition.
Copies of the CLSA Feng Shui Index (English & Chinese) are on the CLSA website, www.clsa.com