Thursday, August 9, 2007

I can see a Sea of Red

Its a cloudy morning here in Bangalore and globally the scenario is getting gloomy day in and out. Over the days we have been hearing more and more of issues like Sub Prime. Yesterday, we started off well and within minutes we were around 200 pts up. Afternoon stuck and Europe opened, BNP Paribas which happens to be a big bank in France came out with bad news and froze funds with more than 2b$ operating in mortgage markets in US and then came the cut.

Today morning also, the global cues are pathetic. Most of the Asian markets are down by 2% or more and if you ask me, i would say that this is beginning to be a can of worms now.
Everday we are hearing new things, we learnt about Sub Prime and now today morning i heard on CNBC that there is some issue with the Quant funds. These are some of the things which i really dont understand and claim to be an expert.

Its obviously not a bubble like the tech bubble but its in excesses and the market will surely make you pay for the excesses.
The mantra stays the same, we for sure need to be very careful about the investments.

I will write more laters.

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