With elections in many countries looming around the corner and the irresponsible remarks by Israel with plans to attack Iran, it is not too much to say uncertainty is very much in the air. The biggest question is where is the economy heading to? The consensus to that answer is stay out in the sidelines and watch out for the coming 'big' storm.
As the oil price shot to $150 per barrel everyone is feeling the chill that could be even more bitting when the oil price hike trickle down to other prices. But will the hike last?
Without any professional or substantial research, my gut feeling tells me that the oil price will eventually fall as we inch closer to the second half of the year. Things will look better until the end of northern summer. Despite being told many times that this is not the time to get into the stock market but I believe that if you are a long term investor, there are many value stocks now that trade below their fundamentals. But the of course there is this oil price hike looming over many industries that could cut a big chunk of profits away. We return again to the air of uncertainty.
The US credit crunch now looks painfully adolescent to the oil price hike affecting global economies. Nonetheless there are opportunities in the mess if you are willing to venture out of your storm shelter.
As the oil price shot to $150 per barrel everyone is feeling the chill that could be even more bitting when the oil price hike trickle down to other prices. But will the hike last?
Without any professional or substantial research, my gut feeling tells me that the oil price will eventually fall as we inch closer to the second half of the year. Things will look better until the end of northern summer. Despite being told many times that this is not the time to get into the stock market but I believe that if you are a long term investor, there are many value stocks now that trade below their fundamentals. But the of course there is this oil price hike looming over many industries that could cut a big chunk of profits away. We return again to the air of uncertainty.
The US credit crunch now looks painfully adolescent to the oil price hike affecting global economies. Nonetheless there are opportunities in the mess if you are willing to venture out of your storm shelter.
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