After the volcanic eruption in Iceland that created major disruption in europe, with the business that are affected still counting their losses.
Then comes this oil spill by BP (British petroleum) in the gulf of Mexico it cannot come in a better time this will probably cost BP $2 to $3 billions in losses.
Now that the Greek bonds are downgraded to junk status followed by Spain's debt credit rating has also being downgraded.
The EU has not much option but to bailout Greece as it is unable to finance it's own debts. By granting Greece with a $110 billion euros lifeline for 3 years, the EU has opened a huge can of worms, after the credit crisis that cause a fallout thoughout the world it has already dip heavily into their kitty to bailout all those troubled banks.
This cards will fall like dominos as the next in line for Europe handout will be portugal as some their debt will be due this month.
Funds are also moving out of Europe into China and Asia by looking at the strong growth in Asia i.e property, stocks & currencies are at all time high only shows that investment will continue pour into that region. I will continue to take a short position againts the Euro$ as the downward pressure is to strong to ignore untill Europe can short all this mess and restore confidence. It simply means they need to print more Euro to finance all this bailout.
By Kelvin Tian
Then comes this oil spill by BP (British petroleum) in the gulf of Mexico it cannot come in a better time this will probably cost BP $2 to $3 billions in losses.
Now that the Greek bonds are downgraded to junk status followed by Spain's debt credit rating has also being downgraded.
The EU has not much option but to bailout Greece as it is unable to finance it's own debts. By granting Greece with a $110 billion euros lifeline for 3 years, the EU has opened a huge can of worms, after the credit crisis that cause a fallout thoughout the world it has already dip heavily into their kitty to bailout all those troubled banks.
This cards will fall like dominos as the next in line for Europe handout will be portugal as some their debt will be due this month.
Funds are also moving out of Europe into China and Asia by looking at the strong growth in Asia i.e property, stocks & currencies are at all time high only shows that investment will continue pour into that region. I will continue to take a short position againts the Euro$ as the downward pressure is to strong to ignore untill Europe can short all this mess and restore confidence. It simply means they need to print more Euro to finance all this bailout.
By Kelvin Tian
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