Salient to Investors: Marc Faber at the Gloom Boom & Doom Report says: High-end assets from stocks to art to real estate are in a bubble caused by central bank money-printing. This money doesn’t increase economic activity and asset prices in concert, instead creates dangerous excesses in countries and asset
READ MORE... →Salient to Investors: Fareed Zakaria said: The data is increasingly convincing that the Keynesians have been right, cutting spending in the kind of recession we have gone through will only hurt growth not help it. But spending on its own is not enough. For sustained growth in the long-term, countries
READ MORE... →Salient to Investors: Asian state-owned oil companies are making inroads in the contest for East Africa’s energy reserves. Fields off Mozambique are estimated to hold enough gas to meet global demand for 2 years. Brett Olsher at Goldman Sachs said state producers have a national interest initiative to secure significant
READ MORE... →Salient to Investors: The Asian Development Bank said: China’s surging wage costs are undermining competitiveness and threatening growth. Average inflation-adjusted wages have more than tripled in a decade and non-wage costs have risen since a 2008 labor law – restrictions on workers’ mobility through the household registration system known as hukou. Changes in
READ MORE... →Salient to Investors: An erosion of traditional Confucian values in Japan means fewer elderly are being cared for at home by relatives. Japan has the world’s highest proportion of retirees, and the lack of long-term care facilities means seniors increasingly risk living alone in ill-equipped homes or suffering abuse in the
READ MORE... →Salient to Investors: Nicholas Pardini at Nomadic Capital Partners writes: US and European stocks are no longer the safest bets. Investors should expect subpar real returns from the US economy and positive long run returns from emerging markets. The biggest economic trend of the 21st century is the global convergence of
READ MORE... →Salient to Investors: Enrico Tanuwidjaja at Royal Bank of Scotland said growth momentum in Asia is clearly taking off. Kozo Hasegawa at Sumitomo Mitsui Banking said funds continue to come into Asia, which supports regional currencies, data out of China are improving. Kim Dong Young at Industrial Bank of Korea said there’s risk appetite in the
READ MORE... →Salient to Investors: Rightmove said London asking prices in London’s 9 most expensive districts increased 3.4 percent in November versus a fall of 2.6 percent nationally. Miles Shipside at Rightmove said the prime central London property market continues to attract wealthy foreign buyers, especially the City of Westminster, where a Mayfair or Belgravia address is a
READ MORE... →Salient to Investors: Owi Ruivivar at Goldman Sachs Asset Mgmt said: If surging demand continues for Asian bonds and distorts prices for a long period of time, the likelihood of asset bubbles increases because prices do not fully reflect economic fundamentals. Supply and demand have become the dominant drivers of bond valuations rather
READ MORE... →Salient to Investors: Marc Faber of The Gloom Boom and Doom Report says 200 million people in SE Asia will be linked by road and rail and the region can easily grow 6-7 % per annum for the next 10 years. Faber’s concern in Asia is the political development – the military will
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