COE and stock market

COE prices and stock market prices both measure the bubble in the real economy.

Recently, COE prices for 1.6 L cars hit a new high at $90,000. Stock market volume yesterday hit a high of 5 billion and only $900 Million in value. (Usually, they are of similar figures like e.g. 5 billion in volume and $4.5 Billion in value). This implies that market is about to turn south soon in the COE market and stock market.

A recent time both COE prices and stock market prices both hit a low is in year 2009 February. COE prices for small car are about $5,000. Stock market high a new low too. At that time, stock market index was only 1,500 compared to today 2,900.

We shall check further if this theory is right.