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 […]
Global Investing Blog
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 […]
For Investors The Financial Crisis In Greece Will Be Ongoing
The crisis in Greece will continue regardless of the outcome of the present negotiations between the government and the troika of creditors. Investors will find that Greece will be mired in debt for years to come, because the economy will be unable to grow sufficiently to meet present expenses and liabilities. The idea that enough income will be generated to repay the massive debt owed to the International Monetary Fund (IMF), the European Central Bank (ECB) and the German government through the […]
Investors Should Consider Asia’s New Economic Tiger: The Philippines
Analysts have long touted China as the place for investment as the fastest growing economy in the world. Overlooked by many is a country in the same neighborhood that has been growing by leaps and bounds in recent years. It is the Philippines, an archipelago of more than 7,000 islands in Southeast Asia. From a year ago, this island economy has grown 5.2%. This is a decline from 6.6%, reported in the last business quarter of 2014. Although the country still has […]
The Slow Rising Economic Fortunes of Turkey
International investors over the last couple of years had increasingly decided that Turkey was no longer a country to consider when looking for new opportunities. There were concerns over a slowing economy, and increasing dangerous neighborhood as well as the movement towards a more authoritarian type of government. Much of these anxieties have been exaggerated and as it turns out ill founded. Although Turkey has gone through a somewhat difficult period in some respects, the transition has recently been moving in a […]
Ethiopia: A Rising Economic Power In Africa Under Constraint
In a continent where missed opportunities for growth are commonplace, Ethiopia has been somewhat of an exception. The economy of country expanded in excess of 10% from 2004 to 2009. It was the fastest growing nation in Africa during 2007 and 2008, that was not dependent on oil. By 2012 the growth rate had moderated to 7% and has remained there ever since, but it is still an impressive record. As Africa’s second most populous nation after Nigeria and the fastest growing […]
The Consequences Of The Coming Crash In The Chinese Stock Market
Investors often worry about the high valuations of the stock market in the United States. Share values are far higher in China, well beyond what can be accepted as normal growth. The excessive exuberance in the Chinese markets will have dire consequences in both the short and long term. Signs of overvaluation are everywhere, with stocks up nearly 50% in 2015. The market is being increasingly driven by speculators, rather than on economic data. The amount of additional money and new investors […]
A Global Addiction To Debt With The West Leading The Pack
Global debt is now at 286% of GDP (Gross Domestic Product). Although debt like investment serves a purpose in the development of an economy, beyond a certain level it brings diminishing returns. The Bank for International Settlements an organization that has within its membership the world’s central banks, has calculated the threshold where debt becomes destructive. It is 85% of GDP in household debt and 90% for non-financial corporate debt. Most wealthy nations have gone beyond these benchmarks. This portends a troubling […]
The Boom In Global Trade For Northeastern Asia Finally Ends
For decades analysts and investors gauged the health of the world economy based on the value and amount of exports that originated from Northeast Asia. The region has been one of the most dynamic in the arena of trade for almost 2 generations. China by far the most important economy in the region, has seen a diminution of 6.4% in exports over the last year. South Korea is reporting a 8.1% decline over last year and Taiwan is expecting exports to shrink […]