Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai leow!

[laksaboy]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

One thing i learnt is its better to b in a low interest rate economy than a high one if u have housing loan. I believe 90% of Singaporens have a loan. High interest rates cause high repayments tat hits the back pocket. No difference to paying more tax. If the economy slows down even more tat means interest rates wont b raised.

http://www.tomatobubble.com/id39.html

To feed the insatiable debt monster, and to maintain confidence in his notes, Mortimer must have a perpetually growing GDP (more tomatoes). If not, runaway debt and inflation will cause the economy to implode sooner, rather than later. GDP growth is fueled by "consumer spending"(consumption) and the constant borrowing which enables it. This is why economists, politicians, and other assorted lunatics are so obsessed with constant GDP growth.

The "business cycle" is very simple. When the rate of growth in money supply (debt supply) exceeds the rate of growth in the general economy (GDP), the excess "money" has to go somewhere. It creates an illusion of prosperity. Artificial bubbles will form either in housing, stocks, currency, etc. Eventually the market always corrects for these phony excesses and the bubbles burst. (just like the poker game.)

 

[The_Hypocrite]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

Maybe for locals who have a secure job and so on,,they should just stick with HDB,,,at least the interest rate is fixed and at 3.5%,,its damn low,,can tong for a long time,,

http://www.tomatobubble.com/id39.html

 

[laksaboy]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

Maybe for locals who have a secure job and so on,,they should just stick with HDB,,,at least the interest rate is fixed and at 3.5%,,its damn low,,can tong for a long time,,

Or don't buy a HDB flat, don't be a debt slave, don't be bamboozled by 'home ownership' snake oil, and don't feed the govt with your money.

 

[The_Hypocrite]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

Uh..if house prices continue to appreciate its stupid not to go into property. No matter what, one needs a roof over the head. Housing is important.

Or don't buy a HDB flat, don't be a debt slave, don't be bamboozled by 'home ownership' snake oil, and don't feed the govt with your money.

 

[spotter542]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

Will we be transformed back to a fishing village

 

[The_Hypocrite]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

For those who think that high interest rate is the answer,,,read this and see the shit ozland is in now due to the RBA raising rates at the wrong time,,



http://www.abc.net.au/news/2013-10-02/kohler-rba-paying-the-price/4992806
[h=1]RBA paying the price for past mistakes[/h] By ABC's Alan Kohler
Posted Wed 2 Oct 2013, 8:34am AEST
Photo: Yesterday's decision to leave rates on hold was undoubtedly correct in the circumstances. (AAP: Joel Carrett)

The RBA has announced its decision to leave rates on hold. But it is the issues not mentioned in yesterday's statement that would be playing on the minds of Reserve Bank board members the most, writes Alan Kohler.
The years 2007-2008 were not the Reserve Bank of Australia's (RBA) finest.
It raised interest rates four times after the start of the worst credit crisis in 70 years, and ignored advice in late 2007 from the company secretary of a subsidiary that the company was paying bribes.
Five years later the bank is paying the price of decisions made then. On interest rates it has been playing catch-up ever since and on corporate governance it must surely be facing a formal inquiry into what went on at Note Printing Australia Limited (NPA) and Securency International Pty Ltd.
Yesterday's decision to leave rates on hold was undoubtedly correct in the circumstances, but the board will be hoping that the US Republican Party does not go further than a brief government shutdown and force a default on US Treasury debt by not raising the debt ceiling.
That would potentially cause an even greater financial storm than the one in 2008, into which Australia sailed with the cash rate spinnaker flying at 7.25 per cent.
Global credit markets began shutting down in June 2007, but after that the RBA raised rates in August, November, February and March by a total of 1 per cent.
When the inevitable culmination of the crisis happened in September 2008, the RBA was forced to scramble rates down by a massive 4.25 per cent between September 2008 and April 2009. It then had to scramble them back up again in late 2009-2010 after China came back to life, commodity markets boomed again and the property market started to get out of control.
Exactly a year later it was cutting again, not so frantically this time, but to a record low. Once again the property markets are threatening to get out of control, this time with the additional propellant of self-managed super funds. It's clearly not yet a bubble, but the RBA is clearly worried.
And if the US defaults on its debt because the GOP-smacking Rabid Republicans decide to take the debt ceiling hostage over Obamacare as well as the budget, then it will have to cut even more, which will fuel an even greater property boom in Australia. Investors would be doubly keen to get out of low-yielding term deposits and shaky shares.
So 2014 could be a most challenging year for the RBA and its governor Glenn Stevens; he might end up wishing he hadn't asked for, and got, a three-year extension on his term in April this year.
It is hard to see how the Abbott Government can avoid commissioning some sort of inquiry into what went on at Note Printing Australia and Securency, what the RBA management knew and when they knew it, and why the Australian Securities and Investments Commission didn't investigate when the matters were referred to it.
This week's on-camera interviews on the ABC's Four Corners program with the former company secretary of NPA, Brian Hood, and a former senior sales manager at Securency, James Shelton have dramatically clarified the issues. These two men have become devastating whistle-blowers against the RBA management and their accusations must be answered in detail, especially the one that Glenn Stevens misled, no doubt inadvertently, a Parliamentary Committee about what the RBA knew of the scandal in 2007-08.
The whole thing is doubly disturbing because it concerns the institution responsible for Australia's monetary policy, and therefore, in effect, with managing the economy.
It was the elephant in yesterday's monetary policy statement.
Alan Kohler is editor in chief of Business Spectator and Eureka Report, as well as host of Inside Business and finance presenter on ABC News.

 

[cunnosieur]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

<iframe width="640" height="360" src="//www.youtube.com/embed/4Z9YGYcwIdQ?feature=player_embedded" frameborder="0" allowfullscreen></iframe>

USA FAILING AND CHINA RISING

 

[Troll]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

Sometimes I wonder about the motives of nay-sayers who enjoys propagating stories of impending economic downturns. At any point of time there will be people who talk up the market, and people who wants to bring it back down. Especially those who pull out articles written by quasi-experts and figures by economist, my question is - for what?

Every other quarters we will have some naysayers who warns of the end of the world - at least economically, and if we all paid attention to them all, life would be very miserable. Sure, some of them will eventually turn out correct, due to some crisis somewhere. But life has to go on, and we just have to live sensibly regardless of economy cycle.

Naysayers are like people who play darts blind folded - eventually something will hit the target board, but that doesn't mean they are good.

 

[Troll]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

For those who think that high interest rate is the answer,,,read this and see the shit ozland is in now due to the RBA raising rates at the wrong time,,

[/I]

High interest rates is exactly what you DON'T need when faced with economic downturn.

Sometimes I wonder what some of these sh!theads are thinking.

 

[STUCK_HERE]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

Good. Come join me.

 

[Rogue Trader]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

Sometimes I wonder about the motives of nay-sayers who enjoys propagating stories of impending economic downturns.

I still believe in 2 things when it comes to saying yay/nay - fundamentals and market observation.

Our economy has been fuelled by a combination of hot money, cheap labour and low interest rates since the heralded Golden period. Unless there are other external or political factors which can prolong our good run, it seems the party is over and it's time to clean up the mess.

If you have been following the job market, you should be able to tell the hiring freeze this year. In my industry, the local market has been comatose for the past 1 and a half years.

 

[zhihau]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

In my industry, the local market has been comatose for the past 1 and a half years.

can join teaching! heard they are still hiring!

 

[Rogue Trader]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

can join teaching! heard they are still hiring!

That's my Plan C

 

[laksaboy]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

can join teaching! heard they are still hiring!

You're obviously always hiring when the turnover rate is bloody high.

My teacher friends advise against it. Lose hair, look haggard and vomit blood.

 

[laksaboy]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

If you have been following the job market, you should be able to tell the hiring freeze this year. In my industry, the local market has been comatose for the past 1 and a half years.

Oh yeah? But here's a report that there is a hiring spree in Singapore till the end of the year.


http://sbr.com.sg/hr-education/news/nearly-7-in-10-singapore-firms-go-hiring-spree-until-december

 

[winnipegjets]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

Oh yeah? But here's a report that there is a hiring spree in Singapore till the end of the year.


http://sbr.com.sg/hr-education/news/nearly-7-in-10-singapore-firms-go-hiring-spree-until-december

Boost consumer confidence mah ...they need sinkee to spend more for year end to boost economic numbers.

 

[Rogue Trader]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

The companies hiring are mostly GLCs... only they are recession proof.

Anyway I have seen many headcounts have moved out of singapore to be closer to the action in China. The former appeal of singapore as the regional hub is quickly losing its sheen.

 

[zhihau]

Re: Sinkies, tighten your belts and prepare to take bitter medicine! Recession lai le

You're obviously always hiring when the turnover rate is bloody high.

Indra-Tua-Nee will sing a different tune woh... attrition rate very low, 3% only...