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- Jul 14, 2008
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I doubt there will be a fallout.. (I could be wrong) I have great confidence in Australia. In view of its shortage of supply and high materials cost, I expect the market to shoot up after the crisis, hence, i am putting my bid in the Auction next-next Sat. Wish me luck !![]()
Australia has some insulation from the western world falling out, but we will not be spared because the local banks need to borrow to cover their loanbooks.
When times were good, I warned about the unsustainability of the US-China trade imbalance and why the US will get itself into trouble. And it did with the subprime.
Then I mentioned about buying Gold when it is still halfway throu the rise. That is because of cheap money is not a good store of wealth.
I also predict about a few other things which has came true and made some money selling shares before the dive a few days ago.
Now I am saying that Wall St is playing "ALL-IN" poker and calling your bluff. Because that State Street banker I know has enough of bad times and want to play games. Unfortunately, Temasick has enough of poker, cut loses and given up BOA shares, etc.
Goldman Sachs (thanks to AIG) want to return TARP $. I am looking an amazing chess move by strategists desperately knowing that the alternative is a glossy weakened superpower. This 2 years will be critical for USA, If their bluff win, US is saved.
But no matter what, with
zero % interest
cooking the account books
transferring of toxic debts into a attic bank and keeping the lid from explosion
most green shoots will be covered with frost.