Stay calm, and don't forget the Jardines

THE first half of the year has been rocky for investors, but also a clear reminder of how financial markets exaggerate every fear and magnify every hope.

Take oil prices. An investor who fell asleep towards the second half of last year, when prices were around US$50 a barrel, and woke up today, would have thought nothing has changed. He would have missed the drama as oil halved to US$20-something by January and doubled again in the next few months to US$50.

Similarly, investors should view cur…