Wednesday, September 29, 2010

Small Update Uncertainty, Pressure again on !! - Correction ??

China, Japan, US
China who is praised for it's economic policies and growth by Very Important Persons like "George Soros", "Jim Rogers", is passing through tough phase. Recently there has been some "ego issues" with Japan over sea dispute. Although China came out of it with upper hand, with historical reference, China can never take Japan lightly..


At the same time, US has been "very seriously" behind China for quite a some time. Looks like current administration is going to follow it up till China takes concrete steps. It will be very very interesting to see how China reacts to this. But hopefully both parties will find mid way path over the time.


European Union
In Europe, PIIGS are again under pressure. Despite 1 Trillion fund created to help PIIGS, Portugal had done Salary cuts of 5% in Govt Jobs. So there is pressure on Euro again.


In short US, China, Japan and Europe That constitute 70% of World GDP,  (14.26, 4.909, 5.068, 16.24, 58.15 respectively out of total $58.15 World GDP) are still not out of woods and hence there will be volatility to continue. 


However unless something unbelievable happens, I do not see a change in UP Trend in Stock Markets except possible major correction (that may appear as change of trend) in time to come.

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