Comments on: Asian inflation in the pipeline http://www.creditwritedowns.com/2008/07/asian-inflation-in-pipeline.html Finance, Economics and Markets Fri, 10 Feb 2012 00:37:00 +0000 hourly 1 By: Sobers http://www.creditwritedowns.com/2008/07/asian-inflation-in-pipeline.html#comment-120 Sobers Mon, 21 Jul 2008 23:11:00 +0000 http://www.creditwritedowns.com/2008/07/asian-inflation-in-the-pipeline.html#comment-120 This analysis is spot on in my opinion. All the trends point to demand reduction in the West - credit crunch, higher oil/commodity prices, over indebtedness. This will in turn reduce export markets for the Eastern economies, at a time when they are suffering from higher inflation. This would indicate a crash for them sometime in 2009, probably in the autumn. <br/><br/>By the end 2009/early 2010 there will be a global slump/recession. It will not be pretty. The only bright spot I can see is that oil/commodity prices will collapse in the face of such a slowdown, thereby mitigating some of the effects. But that in itself will affect the oil producing nations, causing problems there too. The massive building boom in the Gulf will hit the buffers. This analysis is spot on in my opinion. All the trends point to demand reduction in the West – credit crunch, higher oil/commodity prices, over indebtedness. This will in turn reduce export markets for the Eastern economies, at a time when they are suffering from higher inflation. This would indicate a crash for them sometime in 2009, probably in the autumn.

By the end 2009/early 2010 there will be a global slump/recession. It will not be pretty. The only bright spot I can see is that oil/commodity prices will collapse in the face of such a slowdown, thereby mitigating some of the effects. But that in itself will affect the oil producing nations, causing problems there too. The massive building boom in the Gulf will hit the buffers.

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