I can't keep up with all the stimulus package from east to west and the worldwide central banks are racing to cut rates - some says we will have free money soon. Consider these:-
1. Nov. 7 (Bloomberg) -- The age of free money may be at hand.
As major central banks slash interest rates with unexpected speed, benchmark borrowing costs are now below core inflation for the first time since the early 1980s, and policy makers are signaling they will go deeper.
Yesterday's cuts by the Bank of England and European Central Bank, which came with the Federal Reserve and Bank of Japan on the cusp of zero rates, are a bid to shock life back into their recessionary economies and strained money markets. It may be an uphill battle as consumers and businesses show greater interest in saving than spending, and banks hoard capital rather than lend it.
``It's the race to zero,'' said Stewart Robertson, an economist at Aviva Investors Ltd. in London, which manages about $230 billion. ``There's no obstacle to more rate cuts.''
2. Nov. 7 (Bloomberg) -- The Bank of Korea lowered interest rates for the third time in four weeks and signaled it's ready to act again to prevent the economy from sinking into the first recession in a decade. The nation's shares and currency rose.
3. Oct. 30 (Bloomberg) -- China may keep lowering interest rates after three reductions in two months as the global financial crisis drags down exports and production.
The People's Bank of China late yesterday reduced its benchmark one-year lending rate to 6.66 percent from 6.93 percent. The bank also said in a statement on its Web site that the deposit rate will drop to 3.60 percent from 3.87 percent.
I can go on and on but you get the message already. When we get out from this mess, inflation is waiting for us at the end of the other gate. We have to get ourselves ready when the pendulum begin to swing to the other side - INFLATION. For now(whole of 2009), we got to ride on temporary-deflation wave.
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Jobless rates today bolted to an eye-popping 6.5 percent. This tells of many things but 2 things in particular – 1) Businesses both large and small are struggling and 2) after we reach the bottom of this recession, there will be many positions to be filled by companies, large and small.
Listen to the tone of airwaves, minus the recent election of President-elect Obama, everything has been so negative! Honestly, think about how negatively our society portrays almost every situation. Acquiring a negative perspective is easy, but stand up and make a statement about yourself – tell yourself you will not victim to this negative jargon! If you find yourself in a hole, ask yourself this question: what will more likely improve your chances of being successful – continuing with a negative outlook or transforming your thought patterns into a positive outlook?
I work with many high level c-level executives that have experienced tremendous success in their life. The one binding characteristic between all of them is that they do not let external, uncontrollable factors influence their inner dialogue and visions for future success. In fact, many of these people use a vision board – a collage of images that symbolize personal goals success - to help them keep focused on their positivity and desired outcomes. I might suggest using one yourself if you are currently in a rut. You should look at the helpful information on how to make one over at www.TheVisionBoardKit.com.
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