Tuesday, 16 September 2008

Immaculately random

Someone asked me if I have been ISA-ed via sms. If that’s the case, I wouldn’t be able to reply the sms, would I? Hehe…

Anyway, I have not been feeling too well for the past few days; top that up with 2 weddings over the weekend means blogging activity has to be restricted to only reading. Also, things are happening so fast; blog topic in my mind just kept changing.

By the way, I was so busy till I missed the match between Liverfool and Man U. And I am too numb to feel the pain.

And so we are here on “the” day, the self-imposed deadline by the so-called “messiah”. Everything seems to be rather quiet. I don’t feel the excitement that I had a few days about Project 916. Is it going to happen? I am sure we all have that burning question in our minds now.

Someone just told me that the process has started, that thing are already moving as we speak. We need to be patient. But put it this way, I personally think that the rakyat has seen enough that even if Project 916 fails to materialise, most will still be behind the “messiah”.

If nothing concrete happens by the time the clock strikes 12 tonight, the comics newspaper will literally crucify Anwar tomorrow; as some are already doing it today. But then, the sentiments now are such that… anything and everything the govt does is wrong while anything and everything that Anwar does is right. As irrational as it may sound, but that seems to be the way for now.

I am not going to make a big fuss if Project 916 is revised, are you? Nevertheless, I have a feeling that Anwar knows, if he fails to deliver today, the repercussions might be damaging.

Amidst the current political blockbuster, some of us are keeping a very close eye on things happening across the globe, one that will most probably impact our wallet. The US govt announced they are going to bail out Freddie and Fannie, once reported to have 2/3 of US’ mortgage portfolio. Those in the financial market will know that US is going to do this by just printing more $$$ and according to some reports, this is going to caused massive inflation.

Sorry I don’t have articles to back-up my claims. You can always try to google it.

But the one that takes the cake has to be Lehmann Brothers, they just filed for bankruptcy yesterday. A 150 year-old investment bank, one of the best in the world, is now bankrupt. Coming in as first-runners up is Merrill Lynch, which has just been taken over by Bank of America. The collapse of these 2 giants is causing a market meltdown across the globe.

Just to put things into the right perspective for those who are not familiar with the financial world, we are talking about the collapse of companies like Microsoft and Apple.

The reason behind the collapse?… Sub-prime, a phrase which many are familiar with now.

But if you were to ask me, it’s all about the middle class trying to make it big by helping the rich to get richer. To achieve this, the middle class squeezes the poor to make them poorer and when the bubble finally breaks, when the poor cannot be squeezed anymore and just run away; everything collapse.

And all these bail-outs, bankruptcy cases, take-overs are just going to protect the interest of the rich while the middle class will be out of jobs and the poor… totally screwed. Welcome to the real world.

27 comments:

Klaw said...

Yeah, I think for the 50+% of people in the peninsular who voted for PR in the last elections, it wouldn't really make a difference if Anwar takes over in 916 or end of the year. His credibility will certainly suffer if there are no significant actions today, but I don't think it will kill him.

As for the bailouts, I think even the NYSE is not being hit as hard as our good ol KLSE.

Huei said...

like u said..i think we've seen enough. just a simple number from anwar gets so many "coincidences" happening. we see how insecure they are..how they're wobbling now like a tall building during earthquake, and at a little push..wahahahhah

if 916 fails, it's ok..let them laugh all they want now, they'll be the last to laugh when it finally happens

anomaly said...

Let me correct the spelling, its Liverpool :P and the score was 2-1

Rough times ahead, i pity Lehman's 2008 grad analyst batch, i bet some are regretting not taking up offers with JP, Goldies or Morgan instead. I wonder if Merrill is shutting its Msia/Sg ops

Time to head to the Middle East for some...

CarolineL said...

Most of us are fed-up with gamen. And the only way to topple them, is to ally with the enemy, whether we like it or not. And in this context, whether he failed or succeed.

The bankruptcy of Lehman Brothers is only the beginning. Federal Reserve is now aiding the ailing AIG. Tsk, worst is yet to come...

pinknpurplelizard said...

A sub-prime shouldn't run for as long as the it has in the US. The US are also in fact have the biggest debt in the world. They were, are and will be living on borrowing means.

I hope Anwar's plan comes to be coz i wanna see the look on Pak Lah's face wen he gets the news. Muahahaha!

the Constantly Dramatic One said...

Dude, Anwar is messing with me. I subsribed to STARS news update on my mobile so that when he announces it I would be like, in the moment, screaming "Revolusi" in the middle of lecture.

But there's nothing. NOTHING!!! I feel like we all have been played. I am so upset, I'm going to sleep now. I wanna be all angry and dramatic over this but no energy lah.

Tengah puasa.

Just Jasmine said...

Don\t screw the rich, cos my dream is to marry one billionaire ;P

myop101 said...

to be honest, we should stick with the old brick and mortar lending.

the most basic problem with sub-prime is this: over-leveraging.

notice how our Cagamas is still safe and strong eventhough they are the biggest housing mortgage securitisation company in this country? no no...it is not because BN bails it with our taxpayers money but instead, they provided an avenue for banks which wish to liquidate their money stuck with mortgages by demanding good ole fashion solid securities with good paymasters.

thanks to this whole subprime fiasco, i actually begin to appreciate the islamic banking concept of bai al-kali bi al-kali (sale of debt with debt) where most if not all the Islamic banks are spared.

myop101 said...

hehe...

for my DSAI comments you know where to find la...:P

I'm Choonie. said...

If 916 not going to materialise today, not only DSAI gets crucify, I am going to get it too. LOL Colleagues are telling me that 916 is just a dream. It is not that easy to change our 51 years old garmen.

Taxy Driver said...

Yeah. Me disappointed with DSAI.

On the sides, with the imminent death of a huge part of the securitisation market, our beloved Finance Minister has yet to gazette a proper tax neutrality law for ABS structures. I hope he never gets to, but I'm still disappointed with DSAI for not really moving. He's just been talking. He hasn't harped on anything different from what he has harped on for the past month. Upset. Very upset.

vincent said...

I find it ironic that you mention your messiah and an economic downturn in the same post.

In glorifying this idiot, do people even remember what he tried to do the last time we had a financial meltdown in this country?

sabrina said...

Yup i don't think people should give a shit about the date. It's inevitable...so doesn't really matter when. However the sooner the better la so that the ISA dudes can get out fast

But you can be sure that the bastard newspapers will make a huge deal about it!

sooi2 said...

Yes, the Fred/Fan and Lehman Bros are quite a tsunami, but interestingly USD still seems to maintain its exceptional strength.

Surely u understand that no one was forcing the poor to take the mortgages in the first place. How did a company that is said to be of $10b value has $60b worth of mortgages?? who are approving these loans?? it's all managing money wisely.

As for 916, give saudara anwar some time la. But then again I think I might support Ku Li as PM as well. as long as it's not AAB or Najib!!

pavlova said...

hm, i would be more inclined to think that if someone promised the sky and the moon BEFORE elected into office, you can imagine how he'll be when he's IN office.

people are just so blinded that any tom dick or harry that is not UMNO, BN or whatever is a "messiah".

the US probably need a "messiah" like Obama to help turn things around :P
once they stop the damn Iraq war, you'll free up a lot of expenditure :P

TH said...

The office in Canary Wharf is closed now. How terribly sad. The credit crunch will definitely be with us for a while now.

Hope life's treating you well!

Zawi said...

Don't be surprised if Ku Li becomes the PM when Anwar forms then next government. Miracles do happen sometimes.

Anonymous said...

Yes! He HAS to deliver, otherwise it's the end of the raod for him! I hope he's not doing all that to create havoc...and the kelam kabut not-very-smart old man will declare emergency and that will wipe him and his cronies out totally???

-Princess Shin- said...

So weird being in the country in the midst of all this.

alan zed said...

welcome to the fcuked-up world... ;)

H.C. Tan said...

eiii zewt. it's LIVERPOOL...

as for Anwar...i think he cakap besar oni...

as for the economic thing...no comments...

as for you...hope u are feeling better d...

LynMay said...

916 or 920 or 928 does not matter.. BN has sunk so deep they appear to be in shambles already.. when a government becomes so weak to the point the members no longer trust each other when they are seated in the parliament alongside one another, it is just a matter of time before it finally crumples...

Fact or fiction, Anwar has already succeeded in weakening the regime.. even if he's bluffing, gotta give him credit for declaring 'All-In' for this poker game..

zewt said...

Klaw - actually, our bursa doesnt have much foreign holding, i wonder why it takes such a hard hit.

huei - 916 can just be a symbol, right? hehe...

anomaly - middle east... hmmm... that's where all the blackgold is eh? well... one day, i think the middle east ppl will control the world economy.

carolineL - malaysians wont feel the worst... they just rely on credit cards.

pinknpurplelizard - the US screws up the whole world. they are in debt and they cant service their debt and we have to keep it that way in order for us to survive.

the constantly dramatic one - hehehe... puasa time... tension eh?

just jasmine - hahahahaha... right... good luck!

zewt said...

myop101 - it's america's problem, the world should not be dragged into it.

I'm Choonie - this is not about changing underwear lah...

taxy driver - he now has a new nickname... mr man-man-lai.

vincent - yes i do... but i also know what the current batch of fellas are doing... now.

sabrina - they are already... going like a broken record.

sooi2 - it's all about greed. they allow the poor with bad credit rating to take up the loan and the poor themselves also screwed up... think they can sell off the properties later. the very same thing is happening in KL with all these high class condos.

pavlova - hahahaha... yeah, it's a matter of love hate relationship here. US... sigh... they are screwing us all.

zewt said...

TH - heyy!! yup, i have been well, missing London though.

Zawi - not ruling that out :)

anon @ 17/9 1.49pm - now, that would be scary, i wouldnt want that.

princess shin - how so?

alan zed - indeed... indeed.

HC Tan - liverFool! :P... i am feeling better. thanks :)

LynMay - that's exactly my points... so many cracks in the govt now... all becos of one man's bluff?

whoalse said...

I'd not careless of the dates. So long there is a change in the policies and replacement of useless empty tin can leaders, I'd be contend.

As much as we disdain Soros, himself, Greenspan and Buffet had mentioned few weeks/months ago that the full impacts of the sub-prime crisis had yet to come and they are probably correct since the next few days/weeks is critical.


On a lighter note, zewt, is the crisis affecting your "plan"? =P

zewt said...

whoalse - i dont have a plam now... that's the problem! hahaha....