Humor: World in Pictures

Buddhists are upset over this cartoon depiction of the "Buddha":

The US is on top of the Economic crisis:

The new administration is clarifying the economic situation...here is the illustration:

President Obama has a new symbol for the US Economy:

Unemployment in the US is rising...and rising:

New cities are cropping up for the Unemployed...despondent and decrepit:

Here is the new curve for the up coming Economy Recovery:

Is this a Bear market rally?...yes, if you look at the past as a guide:

Audience showed up...where is the act?

From the Indian Mooncraft Chandrayaan 1:  in orbit around the moon looking at the Earth...India in the middle...how appropriate:

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Indian Markets: Casino is Open...Beware

The Indian and Global equity markets are flying ....up, up and away; Equity markets are supposed to anticipate economic performance which translates into earnings.

Below is a potpourri of articles illuminating the state of the global economy:

Corporate Default Rates...

Less Awful Economy= Good Markets...

Mark to Make Believe...

FASB and Zombie Banks...

Generation of Denial..

Unemployment Statistics...

I take the view of the Appropriation Bill from Congress which says:

Be Prepared for extraordinary crcumstances

While this rally seems to have firm buying I cannot see the light at the end of the tunnel..those that do, please make sure it is not an on-coming train before you proceed.

The charts are no longer friendly...

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India Economy: More News..Sigh

Global Crisis battering Economies

The World Bank said its latest projections show the global economy shrinking by 1.7 per cent in 2009. "This would be the first decline in world output since World War II," the bank said.

World Bank: Slower Growth in India

As the global economy deteriorates sharply, the World Bank has projected a slower 4 per cent growth for India in 2009

India and China Bond Markets:  almost 10 to1 size difference.

India Bond Market size  :  USD 450 billion
China Bond Market size:  USD 2.18 trillion

 

Humor:

Wall Street- Washington Nexus:

 

USA: Rising Unemployment

 

Pakistan PM Gilani:  from Spoof and Parody

"We want to be everybody's friend and we want to be India's friend and with friends like us why does India need enemies"

Cramer calls a bottom (again) --what a clown...this is CNBC

- January 10, 2008 - Financials have hit rock bottom.
- August 12, 2008 - The bear market is dead.
- October 15, 2008 - This is the beginning of the end of the crisis.

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India Economy: Rough Ride Ahead

A potpourri of news articles...No Good news forthcoming.

OECD Country GDP (4.3%) in 2009

Economic activity is expected to plummet by an average 4.3 percent in the OECD area in 2009 while by the end of 2010 unemployment rates in many countries will reach double figures for the first time since the early 1990s, according to the OECD’s Economic Outlook Interim Report.

In the large emerging economies activity is slowing as access to international credit dries up, commodity prices fall and export demand weakens. Brazil’s GDP is expected to decline by 0.3 percent in 2009 while Russia’s is projected to fall 5.6 percent. Growth in India will ease back to 4.3 percent this year and in China to 6.3 percent.

India growth 5% in 2009: ADB

"Expansionary fiscal policies could impair the confidence of investors unless clear signals are given that the present large deficits are truly temporary," he said.

ADB urged the Indian government to review tax policy, the quality of public spending and the effectiveness of public programmes to ensure that it has room for the infrastructure and social sector spending that is necessary for achieving rapid, longer-term inclusive growth.

Indian Banks Strong: RBI

The high-level committee on financial sector assessment headed by RBI deputy governor Rakesh Mohan also forecast economic growth of 8% in the medium term.

"The capital-to-risk-weighted assets (CRAR) would reduce from 13% to 10.9% for a 244-basis point shock," it said, adding that only in case of 20 banks, which account for 36% of total assets, would the CRAR slip below the regulatory 9%.

Why are Indian Policy makers seeing rosy futures compared to their global counter-parts:  No one believes the 8% growth forecast...and if 36% of the banking system was under-capitalized in a further downturn I would be worried and not talking about stability.

But hey, that's me...

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India Markets: Technical Explanation

I have not seen any evidence yet that the economy is bottoming....anywhere...and the theory of De-Coupling is now firmly placed in the trash bin.

So what are we witnessing?

A technical, selling exhaustion rally...which will be followed by increasing volatility and then the inevitable thud.  The rally is past...the volatility is upon us...the thud is coming.

Readings:

Seven Uncomfortable Predictions

Is China Today the U.S. of 1929?

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