Bill C. has urged calm apparently. Now THAT is calculated to really get the ball rolling. Meanwhile, globalisation seems to be working on the Mexican wave theory. Since you USA guys went to bed, Singapore closed down another 11%. Hong Kong for those who didn't notice took a real pasting. Nikkei continued down. The wave is travelling round the world like a Mexican wave. I'm reliably informed that these travel something like 3 or 4 times round before fizzling out.
European markets open soon. The wave should travel another couple of times round before fizzling out. It isn't a big single cruncher 25% like the old time crashes which reverbrated rather than rolled, but it should add up to the same by the time the crowd has got sick of standing for the wave each time it appears.
So, look for another 10% or so tomorrow, then 4% the day after that. By then things should have calmed down again worldwide and the printing presses will be rolling out trillions in cash flow sustenance and interest rate reduction.
With the China boss in the USA with Bill C. and his chief executive Bill G, it is rather timely for them to agree with Japan to have a 10% printup to stabilize Hong Kong, China, Japan and Taiwan especially, but everywhere else too. That way, the Hong Kong dollar will not need to collapse relative to other currencies, Japan, USA etc will stabilize their markets. Bill C, Mr Jiang, Mr Greenspan and Bill G. will be feeling pleased with themselves to have something substantial to get their teeth into during what could have been a boring summit sidetracked by human rights and a decade old squabble over a riot in a Peking square. Nobody will be worried about a few jailed Chinese dissidents after this.
The crowd will resume their seats after the biggest Mexican Wave ever.
Have fun tomorrow.
Mqurice
PS: Al Gore, Qualcomm's buddy in the White House, will put in a good word for Qualcomm to Mr Jiang. China will get rid of part of its enormous trade surplus with the USA by buying big heaps of cdmaOne phone systems and Globalstar. It's an ill wind that blows nobody good. Ramsey, get your U-haul ready for when the crowds go wandering out of the Qualcomm stadium with frowns on their faces after the biggest Mexican Wave ever, dumping their Qualcomm shares as they leave. I might even have to borrow some newly devalued cash from somebody to load a few up. |
