The carry trade bubble is about to explode – time to buy Japanese Yen
Joe Weinman
Oct. 3, 2007

The next bubble that is about to burst is in the carry trade. Many traders are taking very low interest loans in Japanese Yen. Then they sell the Yen to get access to Euro, Swiss Frank, Aussie and Canadian Dollars, British Pound, and US Dollar. They buy stocks with a hope that the emerging market profits will take them to heaven.

The emerging market especially in India and China are showing signs of crash. The rash can be similar to that in US in 1929. The ensuing depression in the emerging economies will take these economies into deep depression. The carry trade initiatives and norms are about to explode in the face of the traders.

When that happens, these same traders will unfold their positions, buy Japanese yen back and repay their loans – calling it ‘enough is enough’. That is exactly what happens when human greed dominates crazy behavior. The excesses are brought down to its knees.

After being wrong on residential real estate, Fed Chairman Bernanke is nervous over unemployment, commodity inflation, consumer, and business confidence
Marla Guthrie
Stagflation is the name of the game although Fed still resists terming it that. The residential real estate route is in first leg. It is now slowly spreading its troubles into commercial real estate and REIT.
READ MORE>>

Hybrid auto manufacturers looking into low intensity acoustic enhancement techniques for quiet Hybrid cars to warn blind people
Sunny Chopra
The auto manufacturers are also concerned about the liabilities that can come from the lack of sound from these hybrid cars. They are looking into low intensity acoustic enhancement techniques. The concept came from the Aerospace technologies.
READ MORE>>

The carry trade bubble is about to explode – time to buy Japanese Yen
Joe Weinman
....these same traders will unfold their positions, buy Japanese yen back and repay their loans – calling it ‘enough is enough’. That is exactly what happens when human greed dominates crazy behavior.
READ MORE>>

Housing recession spreading into REITs and investment quality commercial real estate
Fred Day
The housing recession is accelerating. The unsold home inventory is skyrocketing. The mortgage debacle is just at its beginning innings. Something interesting is happening in the commercial real estate and REIT (Real Estate Investment Trust) sectors.
READ MORE>>

Where will oil head if and when the economy tanks into deep recession?
Alan Hershey
The recession is in the horizon. But it will come very slowly. It may even take three years before the first negative GDP is registered. The biggest question is what happens to the developing economies and the oil market when the recession is hit?
READ MORE>>

Lower ISM Non-Manufacturing index shows economy at this moment losing steam but not headed for a recession
Sam Adelton
The bond market is rallying as we predicted. But the fact is that the economy is not going towards recession. Lower ISM Non-Manufacturing index shows that the economy at this moment is losing steam but not headed for a recession.
READ MORE>>

American meat supply is the safest in the world
Media Release
Dr. Richard Raymond, the Agriculture Department's undersecretary of food safety, said that while an investigation found inadequate E.coli safety measures at the Topps Meat plant in New Jersey, where the beef was processed
READ MORE>>

MORE ARTICLES >>