Saturday, October 03, 2009

Tough time ahead for US and global economy

In September, employers in the US cut 263,000 jobs. The unemployment rate increased to 9.8%. Stocks and the US dollar slumped. Reality is beginning to set in that this recovery is going to be very slow in developing and erratic as it goes on. The prospects for the global economy is also bleak.


Anonymous said...

2009 is coming to an end in a few months. And the experts said the worst is behind us.

And despite being the worst (end 2008 to early 2009), property prices and stock shot up beyond expectations here.

And if 2010 will not be worse than 2009, will the high propery and stock prices in Singapore continue into 2010 and even sustain beyond? And the low interest rate continue too?

Parka said...

I don't think the worst is behind us.

The prospect of global economy lies with small businesses.

Sim said...

Don't worry. The real crisis has yet to start. Plenty of opportunity to enter.

Property prices and stock shot up beyong expectations is a bad sign. It just means more people are putting their necks on the line and when the interest rates goes up, they break. Similar to what happened in the US. Now it's one of the worse time to buy property. Fundamentals like crap and prices as though everyone's earning millions...

I'm still standing by the sidelines. The US economy wasn't allowed to purge its bad assets and bad companies by the bailouts and cheap money and this will be reminiscent of the lost decade of Japan in the 1990s. Keynesians killed them all...

Anonymous said...

Its like getting 2 marks upon a possible 10 marks.
Now, getting 4 marks out of 10 means its an improvement... but its still under the pass mark of 5.
I hope the economy tanks.
Many have commented that younger Singaporeans have never experienced hardships in their lives.

This will be their moment of truth.

Put them through a baptism of fire.

Our Brigadiers, Generals are very smart and very learned and very well paid. It has been said that for 1/10 of their salary, a more seasoned captain that has seen and experienced combat could do better.

Lets put the nation to the test. Talk big yeah?

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