Stitch, Thread,
Shouldn't the headlines read...
As expected, the Asian Economies tanked in the second quarter.
Did anybody really expect anything but this result, regardless of what the prescription was IMF or otherwise? Guess what, they will tank in Q3 and Q4 too. That must also be the fault of the IMF.
There is no magic wand. In the real world change takes time, especially when it's full of pain. At this point the critical issue is not GDP growth, employment growth, or stock market performance. How are the reserves doing and is a foundation for confidence being poured.
Hmmmm, labor is tight in the US, US profits are being squeezed, the dollar is a good as gold, and there is excess capacity in Asia. It seems last time this was the case we found ways to make use of this excess capacity. Its getting near time to buy Asia, and perhaps the stocks of those companies doing the buying. If you want to buy stocks of Asian companies, you might want to hold off until the multi-nationals start again enriching the region (and the cycle continues). MHO.
Cheers,
Lee |
