The recession's coming Singapore's way according to Song Seng Wun the  regional economist for CIMB-GK Research.

We are pencilling in the worst for Singapore.... We might see two straight years of (economic) contractions (from 2009 to 2010) - Song Seng Wun

News.

2 years of contraction is no joke but the latest news from US shown that there's a coordinated move globally to cut interest rates. May or may not work. Interest rates have been cut so many times this year.

I remember just weeks ago it was big news when Lehman filed for Chapter 11 and shortly after the Lehman's crisis news about AIG's struggle for survival surfaced.

There was an offer made to AIG to buy one of their business asset for $8bn but was rejected by AIG citing that the offer was too low (they think it's worth more than this amount).

At first I thought, how on earth this company will survive in a crisis like this, there's no sense of urgency at all. (Warren Buffett walked away from them) But then, they were lucky, U.S government stepped in with an $85bn buoy to save the company from going bust.

Alas, the execs spent the money on luxuries just few days after they got the funding. Hmm....what are these people up to? I hope they don't resign from their jobs and take a couple of millions with them as compensation.

Singapore is small and sensitive to every bits of bad news from the U.S, we are not immune from scandals like this at this juncture. Good luck to everyone in the market.

The STI has dropped again the last time I checked (an hour ago),ok AIG is innocent in this case.

I was watching CNBC live telecast at CNBC.COM last night. Astonishing I would have say, aig scrutinize for the misuse of bailout funds, questions about who should be jailed were raised during the conference.

I waited till this morning for the news before updating this blog.

Quoted from CNA

Less than one week after the taxpayers rescued AIG, company executives could be
found wining and dining at one of the most exclusive resorts in the nation,"
Democratic Congressman Henry Waxman told the House Committee on Oversight and Government Reform.

Quoted from CNBC

They were getting facials, manicures, and massages, while the American people
were footing the bill," said Rep. Elijah Cummings, a Maryland Democrat on the
oversight panel.

Full story here: CNA and CNBC. Will be back later with other posts.

I was never a charitable person if being charitable meaning giving to the less fortunate. I hardly made any donations, I don't want to count with my fingers. But if my memory doesn't failed me, I do give away during flag days.

I am not heartless, I feel sad for people who are suffering. I am serious and that's why I seldom make donations. Contradicting? Not really.

You see, I can't stand patients appearing on TV asking for donations because it makes me feel sad. I am not really a happy go lucky but I try to be happy for 366 days in a year. I can't take tears. If someone were to walk up to me and say "Please help the needy", I will as long as I don't see the sight of the sufferings because I will avoid the the sight by any means. Those are usually the flag donation drive. How much do I donate? ...... little. How often do you see flag day? Once in awhile? So you could have guess how many times I actually make donations.

I am not charitable because making money is more appealing to me than giving it away. I am in a rat race and I am making sure that I get out of it so you know my priorities.

But I am kind.

STI recovers a little today with only 9.23 points. Looks like a knee-jerk reaction here, from waves view, this is at most a minute wave.

If I am a little more optimistic then this is because the market has filtered all the bad news and is ready for a correction. But I am not confident of a correction in the near future.

This is a near death struggle before finishing off at lower levels. I would say 1,500 points is where the STI is heading. 

The stock market's Tsunami is coming.

I am not going to buy anything now for sure. There could be more bad news from U.S soon, let's keep our fingers crossed. Watch out for the hedge funds.

I have some ideas for Wake Up Your Ideas.

Will post there in the near future, foreseeable future I mean.

You will see staggering numbers here:

http://www.brillig.com/debt_clock

How many generations do you think U.S will need to payoff their debts?