Golden Cross Malaysia: What is Happening around the world!!!

What is Ben Bernanke doing?

He doesn’t want any of his word to break the market down; so he chooses his words carefully when he speaks
He is concern over the US inflation rate of less than 2% even with so much of QE – this would be scary because US might end up like Japan – DEFLATION
He is concern over employment – the fortune 500 Companies are doing well with all this QE but they are not employing enough to make a difference is the employment – he wants it to go to 6.5%
He is also concern over the US Consolidated data which he wants it to be more consistent
He is also concern over the US Stock market sudden crash like the one in 2008 – if too drastic monetary policies is made

What is in the pipeline?

Reducing the QE is an important part of slowing down easy money and stop creating a deflation soon if they don’t do it
Borrowing cost should not be too low
Interest Rate adjustment soon
Ensuring the unemployment rate to 6.5 by end of this year

In Conclusion

What is Mario thinking?

Reduce interest rate further to stay competitive?
Will he be able to solve Unemployment rate in Europe as a Whole?
Will he be able to handle Spain, Italy, Greece & France crisis which is on the line to burst?
Will he start a currency War with other countries?
Will he be able to pay all the bonds that have been sold – or is he creating deeper grave?

In Conclusion

I don’t see any future in Europe
I don’t see any reason for me to buy EURO
I don’t see why Euro will allow their currency to be strong and damage their economy further
Sell Euro on all New High
Sell Euro on any bad news

What is the Prime Minister Rudd of Australia Thinking?

In Conclusion

He together with Glenn Stevens WILL do anything possible to keep the Aussie down to 0.70cts against USD to stay competitive
He will have do more to stay competitive as their biggest investor China IS SOON GOING TO SQUEEZE the banks with easy borrowings
If the China Bubble burst that could crash the AUSSIE DOLLAR – I am always at “Short Position” for any new high for Aud

What is Abe – the Prime Minister of Japan thinking?

He will and ensure that Japan reached 2% inflation and get out of Deflation
He will win the election today and push ASO & KURODA to do more
He is focusing on Growth and not on the weakness of the currency – which is impossible – without JPY being weak they can’t and never be competitive in this market
He will push BOJ to do more soon

In Conclusion

The USD/JPY will hit 115 by end of this year or earlier
Nikkei Index will cross 20,000 by end of this year – with Cheap JPY – as many will buy into Japanese stocks that has value rather than keeping cash which is going to depreciate – just like the US Stock Market 0 when the USD was cheap
Borrowers will return USD dollar back to the FED and start borrowing from Japan

What is China Prime Minister Thinking?

Will they really going to reform the financial industry in China?
Will they slow down easy borrowings?
Will they be able to keep the 7.5% GDP growth for the next 6 months?
Is he handling the Property bubble well or will he not?
Will he allow the Yuan to rise and be the Reserve Currency in 10 to 15 Years time

In Conclusion

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