Total Worldwide Market Collapse – Myth Or Reality?
WOW, it is unbelievable what I saw just now in the Asian stock markets...The HK Hang Seng Index sank 12.7%, closing at a multi-year low of 11,015. Also, the Nikkei went down 6.4% to 26-year low of 7162 points. Although this is a really depressing day for many people, I am starting to believe there is really something behind all of this...
The enormous drops in the past few months have been extremely irrational since the Subprime Crisis started last year around the same time. This just doesn't make sense at all! Almost every single stock drop to their lowest value in multiple years. It doesn't seem that the stock market works like it used to be. It is not about the individual companies anymore, as everything moves with the market. As soon as we hear some kind of bad news from the government, the entire stock market crashes and going lower. How is it possible that the Subprime Crisis had caused all this mess? I haven't seen anything serious like this before. There are some questions to consider...
Why the US government keeps on cutting interest rates with no apparent result at all? The bailout plan did not work out and make the situation even worse, resulting in a worldwide stock market collapse. How can one explain that the USD dropped so much and it went up almost 30% against the CAD in merely one month? Out of nowhere, prices of crude oil drops so fast that we don't even realize it... At last, how is it possible that other countries are having the same exact problem as US is currently facing? Nothing had really changed in the overseas housing markets, only the US housing market seems to be declining...
Nevertheless, I am positive that things will become better very soon, probably after the US elections because I am starting to think that all of this is "planned". For some reasons, I think the US government fabricated all of this in an attempt to create large amount of fear worldwide.