Wednesday, October 24, 2007

I Think Fed will not cut RATE.....!!!!


why Fed will not cut rate ...?


Reason 1: Higher Inflation problems


Reason 2: All the OPEC country produce crued oil and sell
it in USD, and they import goods in Euro dollar


Reason 3: If dollar become cheaper then Crued oil price
will hike higher then again will create a greater
problems to global economy


Reason 4: If cut rate there will be more moneyy outflow from US. then US face recession


Reason 5: If US recession then who is going to buy the China's Toys ??
So any Suggestions.....?


Monday, October 22, 2007

Hope for the BEST and plan for the WORST (part 2)


Copper, Oil, Corn Lead Commodity Slide; Demand Growth May Slow


Copper, oil and corn led declines in commodities on speculation that U.S. credit-market losses will stunt economic growth and curb demand for raw materials.
Copper dropped to a five-week low, oil slipped from a record and corn fell the most in almost three weeks as equity markets plunged worldwide. The Group of Seven finance ministers and central bankers said the rising cost of credit will sink economic growth. The group represents about two-thirds of the $53 trillion world economy.
``America is going to go through at least one of its hidden recessions,'' Sean Corrigan, chief investment strategist at Diapason Commodities Management, said in an interview in London today. ``If you look at manufacturing and higher industry in America, it's in trouble.''
The UBS Bloomberg CMCI Index of 26 commodities dropped by the most in two weeks. The index fell 1.4 percent to 1,230.398, the biggest decline since Oct. 8. Before today, the index had jumped 19 percent and touched a record high 1,250.7118 on Oct. 19.
Slowing U.S. growth may continue to drive commodity prices lower, contributing to ``a potential commodity rout,'' said Ron Goodis, futures trading director at Equidex Brokerage Group Inc. in Closter, New Jersey. ``People have really gotten caught by surprise. We've got all the commodities in the red today.''
Industrial Metals
The price of industrial metals, which track economic growth, may fall the most of all the commodities, Goodis said.
``Copper could be hit very hard,'' Goodis said.
Copper futures for December delivery fell 6.25 cents, or 1.8 percent, to $3.489 a pound at 9:47 a.m. on the Comex division of the New York Mercantile Exchange, after dropping to $3.45 a pound, the lowest since Sept. 18.
Crude-oil futures for December delivery fell as much as 2.6 percent today to $84.73 a barrel on the New York Mercantile Exchange. The contract reached a record $90.07 on Oct. 19.
Corn for December delivery fell 8.25 cents, or 2.2 percent, to $3.62 a bushel in overnight trading on the Chicago Board of Trade. A close at that price would be the biggest drop for a most-active contract since Oct. 2.

Wednesday, October 17, 2007

Hope for the BEST and plan for the WORST


China's stocks fell, with the key index dropping the most in five weeks, after Beijing regulators said they may allow arbitrage between shares traded on the mainland and Hong Kong. China Merchants Bank Co. led declines of A shares with Hong Kong listings.
Wuliangye Yibin Co. fell after saying third-quarter profit declined 10 percent from a year earlier. Ping An Insurance (Group) Co. gained after reporting premiums in the first nine months of the year.
The CSI 300 Index, which tracks yuan-denominated A shares listed on China's two exchanges, slid 152.49, or 2.6 percent, to 5,671.63 at as of 10:03 a.m. local time, the biggest decline since Sept. 11.
Tu Guangshao, vice chairman of the China Securities Regulatory Commission, said in Beijing yesterday that the panel is studying a proposal to allow swaps in A and H shares of Chinese companies. ``We will announce the result of the study soon,'' he said.
Limits on investments in and out of China have helped the mainland's CSI 300 Index almost triple this year, making the Hong Kong-traded shares of Chinese companies a cheaper alternative for investors.
China Merchants, the nation's fourth-largest bank by market value, fell 0.81 yuan, or 2 percent, to 39.99. China Petroleum & Chemical Corp., Asia's biggest refiner, fell 0.40 yuan, or 1.5 percent, to 25.73. Tsingtao Brewery Co., China's second-largest brewer, dropped 0.33 yuan, or 0.9 percent, to 37.97.