TWO weeks ago, this column pointed out that the Straits Times Index had at the time lost exactly 20 per cent from its high for the year and since a loss of that magnitude fits the definition of a bear market, the local market may have entered classic bear territory.

However, the conclusion back then was "the Singapore market may be on the brink of entering a bear market, but it's not likely to stay there for too long", an assessment that has proved accurate, given the large bounce enjoyed since then.

A rising Wall Street and a stable China have been largely responsible for that rebound which begs the question - will it continue?