Thursday, March 6, 2008

The investors' advices

bank
Between the attainments of the fund market and its glint in the press-realeases always had back proportionally dependence. Very often, different specialized magazines (Fortune, Money, Barron's), which are reflecting the world markets,had given recommendations (to buy or sell) on the wrong time. Just when you read this issue, which promises to you to make millions from real estates, is just the wrong moment to invest in them. And the opposite, when all issues are againt some niche in economy and finances (just like American Dollar right now) is the time for buying it.
We commented that the predictions for growing of the value of USD for 2008 is making the dollar more expensive and the time for buying is now. Also some analyzers, think that will have a little bit decreasing of the USD price in the next month. The lowest border is almost reached, and if you want to earn money from investing on the financial market, that is the time in spite of all publications of USA Economy recesion.
In the summer of 2007, in spite of our understandings that so big growing of prices and shares cannot be kept in long term, analyse brought to conclusion, that should be more active in Bulgarian stock exchange and to increase the invests in Bulgarian shares, but happened the other thing - Bulgarian stock exchange felt a large correction and big decresing of the prices.

Wednesday, March 5, 2008

The world Inflation and Currencies in 2008

Invest
While the world is trembling from the possibility about recesion of the American economy, the inflation in global view is growing too fast. In this circumstances, the exit may bring to depreciation of the European currency and growing of Asian money, commented Reuters.
America Dollar will start to getting stable after more than 2 years weakness. In the last month, the American currency is signing seriously increasing in comparison with European one, because of darker predictions for future of European economy.
In the previous week, the EUR lost 2% from its price toward the USD, which was the hardest weekly correction from June 2006. The markets started to attune for the first interest level decrease from the European Central Bank. The interest was kept higher, to fight with inflational risks. Unfortunately, the strategy is not giving the right result and in the moment Eurozone will be in front of the possibility for developing of stagfation (low economy growing followed by high inflation).
dollarIn China, where the national currency is controled by the country, there are other kind of difficulties. The Chinese dilemma is connected with keeping of the higher economy growing and low inflation, and finally yuan will be let to grow. In the moment, the inflation in the country is with 11 years top, which is embarrassing more of economy analyzers from the whole world.
In moment, when the global economy growing is slow, and the prices are raising fast, the increasing of the currency will raise the buying possibility of the population. According to standart understanding, the countries with weak currencies (Dollar and Chinese yuan), will cope more easily with the getting wider inflation in 2008.

Greece with "yellow card" from European Comitee of Electricity

Today the European Comitee ordered to Greece to find concurence into deliveries of brown and lignite coals for the needs of country energy company Public Power Corp., reported eubusiness.com. Atina was accused, that gave to PPC a monopoly.
The company PPC is making 85% from the electricity of the country and also takes 91% from the licences for production of lignite coals - main source for producing of an energy in the Soutth-Eastern European country. The market of electricity in Greece started to liberate in 2001, but Greece left PPC a factical monopolist into the access to lignite coals and gives a prime possition of the company on the market of electricity, told Brussels.

Obama with some extreme statements

Obama Image
Some weeks ago, the economy program of the candidate of Democratic party for the president of USA Barak Obama, was the most centralic from all others. After 5th february, this changed. Before the yeasterday's very important vote, in which Hillary Clinton won important fortresses Texas and Ohio, the two candidates entered in final competition about who will brand the globalization most hardly.
According to political analyzers, the emotional comments of the two candidates are absolutely politising, which will go out in the moment, they reach the real elections. Some the economists even announced some affraids from statements of Obama, who in the last two weeks reached the extremes.
Just one week ago, the young candidate for president was against the system "open truck transports" with Maxico, in which the heavy trucks can directly come into USA, and don;t need to transfer the cargo to American trucks on the border.

From village to city

Village city
On every two years United Nations' Organisation is publishing report, dedicated to the world urbanisation. The last issue of the report "Pespectives of the world urbanisation 2007", was presented in Tuesday. The present 2008 is signing a turning point in the history of city population of the world.
From datas of OUN, in the 2008 half of all people of the Earth will live in towns and cities, and the accelerating of urbanizations will go mostly becayse of developing countries. To 2050 the general count of city population will grow with 3.1 billions to 6.4 billions citizens.
In 2025 the largest density of population will has Tokio, which will has a little growing from the now 35.7 millions to 36.4 millions people. Second and third will be the Indian cities Mumbay and Delhi. New York will go from second to 7th place.

Bernanke tried to convince the bank industry to remit some mortgages

Bernanke
The Federal Reserve is getting closer with its desires to help of stressed real estates owners and mortgage creditors, started its issue New York Times. The director of FED, Ben Bernanke told in fron ot some bankers in Florida, that "may and should to be done something more", to help to millions of people, whoes mortgages are getting bigger from the value of the property, which they are living in.
Bernanke stopped a little before asking the government for help, but tried to convince the bank industry to remit some parts from many mortgages. The president of Central Bank of USA expressed his apprehension, that market forces will not be enough, to prevent wider market disasters
Bernanke offered Federal property administration to get wider its own helping program, to that much more people to go from expensive subprime mortgages, to federal guaranted credits.

Monday, March 3, 2008

The Weakness of Wall Street hit Asia

wall street
The Asian funds market lost a maximum money in the first day from the working week, because of the affraids for American Economy. The financial sector was the most seriously hit from investors sales and in the panik slowly caught the whole sector, wrote Bloomberg. The Japanian corporation Takefuji signed its largest daily decreasing from three weeks ago, because of the news from realized losses in a count of 291 millions. The automobile company Toyota decreased the pric of its shares, because of getting up of the JEN, which made the export harder. The minning company BHP Billiton lost because of the becoming a cheaper copper.
"The American Economy is getting narrow and that is sure", commented analyzer from Deutsche Bank. "The weakness of capital markets will continue in the next some months", continued he.
The regional index MSCI lost 3% from the level of 143.11 points, which is the hardest decreasing from 6th February. In February the exchange indexes in Asia finished on possitive area, but with its weak presentation today, are again on the values of January.