The Market Wrap - Friday 4-9-09

By Jason Fittler

The market looks to have turned.

Another week and the market continues to hold above the 4400 level, however, we did see China stumble before recovering by the end of the week. The reserve bank kept rates on hold for another month but the feeling is that the bank may look to raise rates anyway.

My next target for the market is 4800, however, I do not expect this will be a one way trip.  As such I am still expecting a pull back to the low 4000. At this point I would be looking to buy hard and get a lot of that surplus cash into the market.

At present I still believe that the Property and Infrastructure sector are under valued and have not run as hard as the other sectors - Plenty of opportunity there. For the longer term investors media is worth a look. I am staying out of the materials sector for now as I would expect to see these stocks pull back.

Cash in my book is no longer king, with companies firming up dividends and the providing good guidance; there are better returns to be made in selective buying in the market.