Wednesday, October 14, 2009

"Almighty presence"

I have been standing firm that it's liquidity that's driving these markets. It is also worldwide government stimulus spending that keeps everyone above water. May be some of us have forgotten that worldwide governments pledge to spend about US $ 2T(trillions) on stimulus packages. To recap, US $ 787B, China $ 586B, EuroZone $ 24B, Japan $111B, UK $ 45B.........

What we have seen in 2009 is just a peanut. Only 25% of that US 2T in 2009 are being spent, we already feel that "almighty" presence. The best is yet to come, the bigger snowball is still rolling down the hill, another 60% of that is going to happen in 2010, of which is only 3 months away.

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