The world is now witnessing the limits to government manipulation of the markets and the economy at large. The meltdown in China’s Shanghai Composite Index with a single day loss on Monday of 8.5%, is the second largest in a decade. The Shenzhen lost 7% of it value as well. The fall is a direct result of the 0.3 drop in industrial profits last month. It is a sign that the Chinese economy the second largest in the world, is not heading […]
Global Investing Blog
The New Growth Industry of Cybersecurity
The war in cybersecurity continues to escalate as more companies and governments fall prey to the onslaught of an invasion of information thieves. It is a worldwide phenomena that is costing companies billions of dollars in lost revenue as hackers make off with intellectual property, as well as personal information of employees and customers. Individual countries have begun to make a coordinated effort on a national level to combat this latest threat to the security of their respective governments. The recognition that […]
The Bottom Line On Iran
The debate has already begun on whether the deal struck between Iran and a number of other world powers including the United States will serve the international community well. There are short term considerations as well as the long term expected results. The discourse is about was this the best deal that could be expected,given the intransigence of the present regime in Tehran? It is important to remember that the lifting of sanctions, the unfreezing of Iranian assets, and the ability to […]
The Rise Of The Chinese Markets And Yuan Have Been Halted
As China moved from one economic success to another, it looked like the triumph of having the Chinese yuan added as a reserve currency of the world was inevitable. Not only would it underline the rising strength of this economic superpower, but would signify the beginning of the end in the American dominance of international financial markets. The United States it would seem, was going to be unable to deny China’s rightful place in the global institutions dominated by the West. What […]
The Ongoing Crisis In Europe: Will The Euro Survive?
In some ways the biggest problem with the European Economic Community (EEC) is the common currency known as the Euro. Although it is a global medium of exchange and presides over the largest economic zone in the world, there have been ongoing difficulties since its adoption in 1999. Only 19 out of 28 members of the EEC have adopted the Euro as their national currency. There are some analysts who consider that there might be too many countries in the Euro-zone. The […]
Nonsensical Monetary Policy Is Destroying World Currencies
On a global scale the central banks of the world, continue nonsensical monetary policies that in the end will destroy all confidence in national currencies. Interest rates have been reduced to below zero in a number of countries and the monetizing of government debt continues apace. Nations continue to spend beyond their means, with no thought to how close insolvency looms. Investors are increasingly dealing with financial markets, that no longer make sense according to traditional standards. Analysts are progressively wondering, what […]
The End Of Commodity Driven Economic Growth In Latin America
Economic growth and investment in Latin America has been driven for decades by the exploitation and development of natural resources which allowed the region to become a major source for commodities. The general rise in price for trade goods including food stuffs, energy and minerals was caused by the rapid industrialization of China. This development proved to be an enormous catalyst for growth for Latin America. As the Chinese economy slows to a rate of expansion of 7% and maybe even less, […]
A Choice For The United States In 2016
As the Obama Administration begins to wind down, Americans begin to look to what lies ahead. The United States is at a crossroads. The political vacation in foreign policy is coming to an end, with the violence and chaos creeping ever closer to American shores. Last week alone there were acts of terrorism in France, Kuwait and Tunisia. Two out of three targets were Western. The factory that was attacked in France was American owned. Domestically while the media chases the latest […]
Growing Uncertainty Will Stunt Investment On The Borders Of Eastern Europe
As the war in the Ukraine continues into a second year and the casualties mount, there is a growing fear among investors and the population at large, that the contagion of civil war will spread further to the west. The nations that border Russia in Eastern Europe, are growing increasingly apprehensive as that nation continues to flex military muscle. This is especially the case in the Baltic nations. As former member nations of the now defunct Soviet Union, they are concerned with the increasingly […]
Invest In Malaysia: A Paragon Of Economic And Political Stability
Malaysia, as one of the economic tiger cubs of Southeast Asia has one of the best economic records in the world. The Gross Domestic Product (GDP) grew at an average rate of 6.5% for 48 years from 1957 to 2005. Although this rapid economic expansion has been based on the development of natural resources from the beginning, there is a growing diversity in the sectors of commerce, trade, science and tourism. Today, Malaysia has the 3rd largest economy economy in Southeast Asia and the 29th biggest […]