Jul
The inflation and rising food, oil are not just a outcome of the rising spending and growth of big developing nation like China, India, Brazil and Russia, but rather it is spear head by anticipation couple with speculation and investment in the market, made worst by media news spreading market news like fire worldwide. This flames may not subside that quickly as long as US market economy is in low sentiment and currency is weak which is why the Gold, commodities are running high during period of weak US economy.
Good news is not far away, as already a glimpse of light is showing for US recovery which may be faster than anticipated, however the crucial factor is US must not engage in another war related issue like the approval of sanction war on Iran by approving Israel pre-emptive strike on Iran which if come through will be disaster, the retaliation will not be less, the world will also not wish another war to break out in Middle East sparkling more turmoil amid the worsen US economy, and ultimately when US market crash due to the further rise in oil, and weakening US currency , the impact on the world economy will be heavily felt.
Though US is currently going through a bearish recession but it is not the worst as compare to the great depression, which current US fundamental are much better. Worldwide economy is much balanced as Asia is fundamentally in good shape and the US recession will not drastically drag the Asia market down. However what impact the world economy are more on the investors, speculators who have not de-couple from the US market.
