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if USA and Europe are in trouble....................all in trouble............
US and Europe are like the heart and lungs....................India and China like legs and arms...............can legs and arms do well if the heart and lungs are struggling......................
that's why years ago, i laugh at those clowns that said China and India will be the new engines of economic growth...........
why worry...? there are so many smart people in the fed, central banks and especially our singapura local upright politicians..haha...no need to worry, sure no problem one. sounds like gahmen mouthpiece right...?
even if it's really not ok, they will inflate their accounts to make it look alright. so don't worry, it is taken care of.
Read that the Fed may announce the tapering of QE in Oct this year... interest rates in Singapore could shoot up if that happens... USD has been rising on this Fed QE tapering news, USD risen to over 1.257 SGD since the news...
And this news is shocking, 90% of Singapore GDP in 2012 came from domestic demand! Exports have crashed.
Chart of the Day: 90% of Singapore's 2012 GDP came from domestic demand
According to Nomura, domestic demand contributed to 90% of Singapore’s GDP in 2012 even as external demand was weak.
It is interesting to note that construction and business services were the key contributors to Singapore’s meagre 1.3% GDP growth in 2012.
Here's more from Nomura:
Within business services, real estate and legal services are key contributors to growth in the business services segment.
To the extent that these two sectors are dependent on the health of the property market, a sharp pullback in activity in the property sector could dampen economic growth going forward.