World Demand collapsing

[makapaaa]

Coffeeshop Chit Chat - World Demand collapsing Subscribe
From: PAPalBull Dec-18 3:02 pm
To: ALL (1 of 9)

4010.1

World economic demand is now collapsing along with the yearlong credit collapse. Recent news is full of stories about how world economic demand fell off a cliff in October, 08. Every sector is being hit, from new cars to recycled cardboard. In each case, October is pointed to where economic demand fell off a cliff¡­

Cars with nowhere to go in Long Beach harbor, California. Japanese ones! NYTimes.com

There are stories about ships all over the world stacking up in exporting countries, anchored, and not able to sail because they cannot get letters of credit for the shipments. Hong Kong was mentioned as having rows and rows of loaded but idled ships stuck there.
The same goes for oil tankers, lines of them anchored even though they are full, with no buyers. There has been a screeching halt of shipping worldwide. Products are backing up in Asia.
Many of you have heard about the collapse of the Baltic Dry index, a shipping index for containers. It has fallen from over 11,000 in July to around 800, in only a couple of months!
Panicky China
Over 100,000 factories in China are to close by the end of the year. Chinese plant owners are abandoning their plants, unable to pay their bills, and abandoning workers with months of back pay unpaid. That is so serious that riots are breaking out in Chinese cities, and even now there is 10 Pct unemployment in some of the biggest exporting cities in provinces like Guangdong. Unemployment in the cities is one thing that scares China. That¡¯s why they came up with that $500 billion stimulus plan. Compared to the size of the Chinese economy, that¡¯s like the US coming up with a $2 trillion economic stimulus. Such a sudden and immense move is unheard of in China. It¡¯s said that China is actually buying some of their own inventory that is stacking up.
more...


Sounds like it's time to put your head between your legs and kiss your ass goodbye folks. So long, fare well, auf weidesen, goodbyeee...

 

[zuoom]

looks like a bleak picture.

where's the source n proof of all the above mentioned?

 

[Goh Meng Seng]

looks like a bleak picture.

where's the source n proof of all the above mentioned?

Dear Zuoom,

According to what I know, yes. The shipment fees has dropped drastically, 80% to 90%!

There will be no more contracts for our shipyards in second quarter of 2009. That is why you heard about those poor foreign shipyard workers being abandoned by their employers with no pay and no food.

Goh Meng Seng

 

[zuoom]

that's the dry dock index.

but that's not a whole picture.

no more contracts for our shipyards? i recall our order books were booked solid till 2011-15? what's happening?

as for those abandoned workers, they but represent a small percentage of the total number. as far as i drove pass the hostels that house the workers, they are pretty pack with them.

 

[Einfield]

What you mentioned is call a deflationary spiral, In which our clown prince denie.

 

[splintuh]

no more contracts for our shipyards? i recall our order books were booked solid till 2011-15? what's happening?

Nothing's secure. Orders can and will get cancelled if financing is an issue.
And that's not limited to just the shipping industry.

 

[zuoom]

Nothing's secure. Orders can and will get cancelled if financing is an issue.
And that's not limited to just the shipping industry.

i get what you mean. as read in the papers n net regarding some cancellations.

but what's the number of cancellations as regards to the number of projects that's on going?

as for financing to be taken away just like that will be a double blow. it's not just a one dollar taken away here, it goes down the line. one dollar taken here would mean two, four further down the line...