Saturday, October 18, 2008
Markets everywhere are tumbling just like sandcastles crumbling after a rogue wave. And yet, the finance portfolio holder says everything is just fine and dandy, and we shall all be happy and continue with what we've doing all this while. Oh, what a pretty picture!
Admittedly, my knowledge on economics is almost non-existent thanks to the education system I grew up in. If you're a science stream person, you stick with chemistry, physics, Biology and Additional Mathematics, and put your nose far away from the Social Sciences, arts and economics classes. No school (except maybe private schools, but I'm not sure) gave the option for you to take up a selection of subjects that you dig. I guess, inadvertently, it may have been some evil ploy to keep us only knowledgeable in certain areas so that we don't end up being too smart and start asking dangerous questions... hehehe. And due to that, most of the stuff I 'learned' about the economy is from a fellow blogger Zewt - who paints the picture in a terribly worrying way.
When you hear of banks folding, and big companies laying people off, you can't help but worry. I can't remember the 1984 economic slump (I was a bit too young to understand anything back then) but I remember the 1998 Asian Financial Crisis, and it is due to that I ended up doing what I do now. Well, not only me, but most of them born in around the same year as me had to re-evaluate our dreams and go with the flow... take whatever opportunity that comes, so to speak.
I read somewhere that the Malaysian Indices didn't drop as far as it should have because all the investors took off after the political tsunami in March (I'm sorry I can't specify the source of this info because I read too many things, and remembering where I read them is usually the last thing on my mind) A few months ago, I actually invested a bit in Public Mutual. I'm not sure if it is time to worry yet or not.
Nevertheless, people don't seem to be worrying as much as you'd think they should be. Being in the automotive industry, I can see that cars are still in demand (which is good for us, because cars can't go out without a good coat of shiny paint!) although the interest rates for loans have skyrocketed like crazy. People still throng the shopping malls at all times, which shows that they still have the buying power, and yet, deep down inside (and mostly after reading Zewt's stuff) I can't help being worried.