frankthetank wrote:Thank God the job situation here in the states looks to be improving. Lots of new businesses in town. Tons of high tech jobs coming in. Building boom like crazy. People are spending like there is no tomorrow.
NOT
Gees,
It only took 28 years for these fellows to mess things up this bad and you expect the world would recover in an instant!
You can bet many other parts of the world will take far longer to heal!
Understandably many industrial jobs will feel the pinch far longer that service or professionals but the fact remains the same with the Financials/Banks and Insurance already finding support and the release of liquidity into the credit markets the recovery is now underway.
In fact considering that Winter will soon be upon us many industrial jobs would have been culled through the holidays and even though it may not seem like much the fact remains that this valuable time can be spent restructuring the industries hardest hit!
Surely you did not believe this recession would last forever or that we would retrace to 26 year lows even though it may have felt like it!
Those hardest hit will be debt rich and cash poor the rest will recover quicker and stronger than before.
I hold no hope for the future of Crude as Green Technologies more ever faster and inflation retraces, in fact many will continue riling from the Global Macro/Micro Economic Woes!
Considering that China and don't get me wrong I have a few positions in China although not in companies that can be severely affected by the slow down.
Personally I don't completely blame China but the WTO, IMF, WB, BIS and the Global Central Banks for not managing China's admittance into the WTO better.
Many will and are still fooled by the current recovery expecting the EU to be on target but much like the WTO's failures with China so has the EU failed by increasing membership without first applying Due Dillegence and Risk Management ahead of greed and power, now we see most every single nation that entered into the EU over the past 8 years under extreme Macro/Micro Monetary Stress.
So whats the solution now that they are member states?
Personally I forecast the EURO to retrace to better than parity with the USD while the GBP maintains above strength by not to the levels of the past 8 years.
This Dutch Disease will linger much longer in the Emerging Markets and all the over regulating will not change things anytime soon for either of them.
Again, it may take till the end of the year but Crude should retrace to test the 30's by Winter, Gold to near 610 and Commodities to 8 year lows.
GL