Its been Wild: Stock Markets & World Economy - Part II

Its really weird that when I wrote my Part I on this topic, I had some notes for Part II but how soon my notes become a thing of the past and something new emerges which is more "weightier" than the previous. By now you might have figured where I am going with this. Yes, its the hurricane, Irene. Not just because its a hurricane and it is headed towards the East Coast of the US. The bigger thing is, for the first time in the history of the USA, the Mayor of New York City has ordered evacuations in Manhattan - the financial capital of the world. That's huge, and what with all the power disruptions, infrastructure failures, not to mention the direction the stock market will tend to follow in the coming week/s.

Ben Bernanke's talk at Jackson Hole, Wyoming seems dwarfed by the impact of Irene. Anyway he did not have much tangible to offer other than chiding the Congress to act! Who knows what that meant. I wanted to really talk a little about the European Bank crisis. It appears the cracks in the system are getting wider by the day, worse than the cracks that appeared after the quake last week, in Washington monuments. I don't hear any sensible or vision oriented resolution to this REAL crisis that seems to have made some pundits project a very weak global economy for the next 10 years, ie till 2021.

Hard earned money in these uncertain days are sitting idle and getting eroded by inflation.

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