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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: jlallen who wrote (344631)	7/28/2007 5:15:23 PM
From: tejek	Respond to of 1574477

Ten years ago, it was the Asian flu that toppled markets. Now its the American flu. Thank you Mr. Bush! The American Flu Saturday, July 28, 2007 \| 10:15 AM Contrary to what you may have heard on Bubblevision, U.S. markets have been badly lagging the rest of the world's bourses year-to-date. As Jim Picerno's nearby table makes apparent, the rest of the world's markets have badly outpaced those in the U.S.: This should come as no surprise, as the rest of the world's economies have similarly outperformed the "Bush Boom." Ironically, this leads to some unusual if belated realizations. Sandra Ward, Barron's emerging market's columnist observes: "Ten years ago this month, financial calamity of nearly unprecedented proportions in the post-war period crippled developing Asian economies, spread to emerging markets around the globe, derailed the U.S. economy temporarily and ended up toppling one of the highest-profile hedge funds of the time. The Asian flu, it was called. Now, emerging markets could catch a bad case of the American flu." (emphasis added) After this week, further evidence of this lag is showing up in all manners of ways. Consider the Russell 2000 -- the index of fast growth small cap stocks. IT IS NOW NEGATIVE YEAR TO DATE. This is especially significant, considering the Russell has been leading the Dow until about a year ago. (We noted the rotation here at the time). bigpicture.typepad.com