The Market Wrap Friday 8-5-09

By Jason Fittler

Time for a pull back.

This week we saw the pressure continue to build in the market, volumes are still down which would indicate that some weakness is yet to come. This is great news, buying into any market weakness over the coming weeks allows you to get set with a lot more confidence knowing that the markets are stronger then they were a year ago.

Over the coming months there will be plenty of opportunities in the market through capital raisings, share purchase plans, rights issues and IPO’s. With interest rates on hold and expected to fall one more time now is a good time to chase yield stocks. Give it another two months and everyone will be in there forcing the price of these stocks up.

A final tip, the property sector has been extremely weak over the past two years. We are starting to see the first signs of the property sector getting ready to rebuild. I am currently researching a number of property trusts as now is a good time to start getting set in these. They may take a couple of years to fully recover, but the wait will be worth it.