The Economy

World's economy is not doing well. That is the phrase that I keep on going to hear over the past few months. You may say that it could be because of oil prices. But today's oil price is at USD 98 which way below of its all-time high. So we couldn't just blame the oil prices. In US right now many people are suffering of losing jobs and business opportunities. I couldn't afford but start to worry to, currently I'm working for US based company.

I read today's paper which one of the current news is about our former PM, Tun Mahathir who call for re-pegging RM against USD. In US alone, 10 major banks have collapsed. Their currency is depreciated. Since RM is not pegged, we also suffer of depreciating on our currency. The fundamental of our economy is strong since we have a lot of resources but without any action taken in this short period, we may go to the situation back in 1997/98 recession.

Mainstream newspapers report that our economy is doing well but in reality is not. Often we hear that certain investors from certain countries are coming, but we see none. Our stock market can lead us to see the real situation. KLSE was traded below 1000 points which I believed the lowest par it goes within this 3 years.

The federal govt of USA announce that they will bail-out companies especially those from banking and insurance companies. But ever wonder how their govt get so much money to bail them out? So I believe that the money that they are talking about is none.

In Malaysia, we maybe a little bit lucky but we must put our worries in mind since we trade so many things with US. The security of the situation is doubtful.