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Politics : Formerly About Applied Materials
AMAT 261.32+0.9%3:59 PM EST

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To: orson sanderson who wrote (9545)10/25/1997 3:16:00 PM
From: james   of 70976
 
Thanks for the comment. But what are the alternatives?

HK situation now is very much like Japan at the end of the 80s. A hot ballon waiting for explosion. Artificial low exchange rate, low interest rate, sky-high realestate price, & uncertain political system. Almost 10 years later, Japan is still trying to get out of it.

Isn't it better to stablize the melt-down before letting it getting out of hand? Mainland lowered its own lending rate dramatically at the end of last week, trying to absorb some financial punches & to stimulate HK-to-mainland activity, at the risk of its own runaway inflation, which has been just under control.

In the long run, $HK will flucturate dramatically. Whichever way it goes, it will hurt.
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