11 April 2015

SIBOR Rate Rising, Time to Sell Stocks?

Recently news of SIBOR rate rising has been coming out quite often, even when I was busy I also know about it. Just last year it was 0.4%+, now it is 1%+, more than 50% increase.

Some good reads here, I think the 3rd link really gives a good idea:

Our SIBOR is closely linked to the US interest rate, so I heard they are planning to increase again, I think just late last year or early this year they increased, so our SIBOR will most likely increase together, by then people here would be cash strapped so I guess they won't put so much money into stocks, I think better to sell everything soon, maybe next week I clear my stocks and hold on to cash first.

I think those who really overstretched will be very much affected, if SIBOR goes up to 2%, their monthly payment would increase significantly, but who knows, one thing for sure is the interest rate will go up, so better be safe than sorry.

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