An economic talk by CIMB

Today,  I attended an economic talk conducted by CIMB bank.  There was a lot of bad news around the world.  EU financial crisis have been dragging on for 3 years now and no end in sight , China's growth rate is coming down whether it is a hard or soft landing , it will have a serious impact on Asia and the USA is faced with a fiscal cliff when the tax exemption period expires in early next year. There are so many hot spots which could trigger a global financial disaster.

IMF reduced their forecast on the global economic growth for this and next year and warned that risk have increased significantly which could threaten stability of the global financial system. 

Looking at the present scenario, the EU financial crisis of the debt nations is the main cause of the current global problem or deepening recession.  George Soros, the billionaire financial and hedge fund operator was right in blaming Germany for the fiasco. Although Germany is one of the core nations to support the unified single Euro currency, they are also the culprid is dragging on the disaster.  A common Euro bond could have save Greece, Spain , Portugal, Italy and Cyprus from their curernt troubles as the strength of the 17 member nations will lend a strong cretability to the common bond and could easily raise the necessary funds from the debt trouble nations in the Eurozone. Now, it is Germany, Finland and Netherlands who is only against the common Euro bond. Maybe , it is better for Germany to get out of the EU and the crisis will be resolved very much faster with the common bond from the 16 nations. 

LIke the Chinese saying goes " they are the Angel and the Devil as well. Two in one ".

In life, there are many cases of people been so greedy and they want to have " the cake and eat it" at the same time. How can it be possible ?  If such situation prevail, there will never be a final settlement of the problem and as it drag on, it will only make the situation gets worst.  We have to act fast and swift and cut the problem at its root or nib the problem at its buds before the "cancer' gets worst.

Most of the time, the interference of the mind will caused more confusion to the heart  or vice versa. Sometimes, we will wait for the right timing and situation to strike but that moment never comes and the problem explores in our face. Deciding the right timing needs a good skill and judgement. Striking at the wrong moment will cause much damages and cutting too late, will kill the solution.

Sometimes, you just need to do it without any prolong consideratons. From hindsight, everyone is right. LOL.

Amitabha.