Japanese tsunami: a view from Asia
Returned from China where I just spent a week I would like to share some observations about the situation that has developed since the tsunami of March 11, colored by my presence in Asia and my understanding of Japan.
Lives in Japan has always bent bow: is the magnitude of the earthquake, tsunami monitoring and finally managed to damage caused to the plant in Fukushima that hit. But the Japanese know that they live on a tectonic plate, and Tokyo was hardly damaged. Cities are built to withstand such shocks. On Monday, the Japanese were working. At no time did they panicked, even when millions of people of Tokyo had to walk home in several hours. It’s absolutely remarkable.
Several telephone conversations I remember an old Japanese collaborator: even if she does not know where to turn, she was busy on Saturday to put his apartment in order, concern over the fate of the twins as her own . Despite the disruption, her husband had kept his restaurant open by “social duty”. Japan has much to teach us about the composure and the civic sense.
While some went south to Osaka, most stayed in Tokyo. At no time did the President of the Tokyo Stock Exchange has imagined close the stock market and banks were active investors in the post on Monday. The Bank of Japan injected 146 billion dollars to avoid a liquidity crisis. If there were changes, they remained within the limits of what a dramatic situation justifies it. The markets were not disrupted. In my contacts with my former colleagues in the TSX, and with their president, the only real concern was electricity. They would have died if the post had been.
Compared to this reality on the ground, the reactions abroad have demonstrated impressive contrasts. I want to concentrate on television. The Chinese CCTV followed in real time the situation with factual comments, but without visible emotion: for cons in private conversations, the concern of a nuclear cloud dominated. Relations between Japan and China are certainly very difficult.
NHK, Japanese television has played a key role in managing the crisis: it covered with a sober images on the ground, the official reactions and news specific to different parts of the population hungry for instructions. The Prime Minister had shown tremendous leadership and the Emperor intervened with sobriety and empathy to reassure his people.
The BBC and TV5 Monde have done what was expected of them: to inform and try to identify the risk in using nuclear specialists who have helped to dissect the risks and, in fact, reassure them that it s would not apply to another Chernobyl. Unfortunately, while BBC World continues to present and discuss the situation in Japan and discussed regional risks, after 24 hours, the French television engaged in a debate between France and French perfectly indecent. It is normal to discuss the French nuclear risk. From there to use such dramatic events for national politicians, there is not that I would not have crossed. Some French media do not live well in the hexagonal problematic. While the Libyans were killed, Saudi Arabia between dangerously in a religious war and Japan is suffering, the presidential polls to hold elections 14 months from the headlines.
But my criticism goes directly to the United States. CNN how to transform a human tragedy and disruption that can impact the planet into a “show” near the soap opera, is totally unacceptable. The information she fingered were swollen, and surdramatisation American media. Panic American had global repercussions.
In this context, what emerged most is the lack of information and knowledge of international realities in the United States. Making “show” a tragedy of this nature and create panic based on non-shocking facts. The “experts” were looking swell to more than limit the debate or risk. As for their analysis of Japan, it was a crass ignorance.
It would not matter if it did not make a dramatic impact on economic balance. Those are the foreigners who sold in panic. Fortunately, when the markets return to more balance, the panic will not benefit them.
We need more leadership and stable wall. We can manage our societies by making a show ground. As always, comments on Facebook showed how individuals are better centers on the practical realities, and compassion was everywhere. Social media seems to show more maturity than others.
Wall Street bonuses: $ 135,500,000,000 in 2010
The Wall Street Journal blew the bomb: the amount collected by employees of the twenty-five largest Wall Street firms reached $ 135.5 billion. What is even more incredible is that this amount is greater than 2007, the year of all records. The crisis is definitely over for pay!
Meanwhile, Lloyd Blankfein and the leaders of Goldman Sachs increased their earnings 600,000 to $ 2,000,000. You read correctly: more than three times the salary of the year goes. Mr. Blankfein, after a year of “famine” has increased its bonus to $ 12.6 million up 43%. We could understand half so Goldman Sachs has seen its profits explode. On the contrary: the benefits of 2010 are down 38% compared to 2011. It is interesting to note that the pattern of activities of Goldman Sachs in London, Mr Sherwood (who does not seem to have the same values as Robin Hood!) Which affected 14.4 million dollars in bonuses, must still earn wages higher to meet the ratios in Europe. According to rough calculation, he probably “cash” $ 20 million.
They are not alone: 738 “leaders” of Citigroup have reached over one million. The Patron of the Bank of America , Brian Moynihan, who announced that his compensation will be linked to performance of the bank, pocketed a bonus of $ 9.2 million while the bank lost 2.2 billion dollars.
Patrick Jenkins, in the Financial Times notes this anomaly , “the money [by Lloyd Blankfein] goes against all principles that we want to pay based on performance . ”
A trader with ten years experience in negotiating oil gained more than a brain surgeon or a general **** with 34 years of service. Will it be that we were on the streets and on Wall Street do what the Egyptians had come to Hosni Mubarak for them to understand? It would be childish and illusory.
Reaction is thus required. But what do we get? With their suave discretion, European banks have much less do they pay their traders and executives? Certainly at the top, but we would like to know how much BNP Paribas, Deutsche Bank and UBS have paid their traders worldwide, all branches combined. At the very least, these things are known in the U.S. while the heavy secrecy continues to hover over remunerations paid by European banks. It is possible that European banks have paid substantially less than their traders.
It is these excesses which are most likely to destabilize our societies face scarcity of young people in developing countries, our remuneration is absolutely indecent. Our Western abuses have nothing to envy in the rapacious dictators.
The conclusion is final> The New York Times this weekend sums up the weekend without ambiguity: “This return to self-pay oversized suggests that we must act more strongly to reduce the appetite of banks for high-risk financial strategies who sprinkles profits in good years and let the taxpayer bear the burden of bad ”
The bankers still do not seem to have understood! Only regulation will force a moderation of wages.
The global financial crisis of 2011 did it begin?
I do not ask this question lightly. The West has been living beyond its means and the tsunami begins to grow in the U.S. and Europe. This time he touches the heart of the public finances.
While British students show their school fees, the French show for their retirement, and the Irish and Portuguese are in the streets against austerity, no less a race against time has begun. There will be no way to avoid a crisis: we must at all costs, however, put under control the risk of racing and trying to master it. The tragedy is that both sides of the Atlantic, the crisis brings to light a reality difficult to master : the political dysfunction.
The United States has a political system that is jammed for years, and the November elections as the Democrats put the Republicans into a corner. There is no way to take any action whatsoever that it be without a showdown Republicans forced their way in the House . In this context President Obama and the White House have little leeway. The reports coming out and despatched by indisputable authorities of both political parties remind us to reality. They point to specific measures, but the reality is grim: the federal budget is 80% allocated to education, health and military spending. These items, considered as incompressible, will have to be reduced. Needless to say that Democrats do not want to touch the health and to education and the Republicans do not want to touch on military expenditures.
The U.S. budget deficit is unsustainable, and at the slightest increase in interest rates, the snowball effect may result in unsustainable growth of debt. With a Federal Reserve overtaken by events, do not count on the American discipline. Rising interest rates can be controlled by the central bank: it will come from the risk premium required by investors to subscribe to the obligations of the U.S. state. It has already increased.
All interest groups trying to stop both in their field that cuts are made. The result is neither more nor less than a block of policy making at a time when we are most in danger & action should be decisive and quick.
In Europe, the risk of contagion Eurozone faces a who, having underestimated the seriousness of the national debt, can not afford to support the budget deficits of some of its Member States. Already it is evident that Greece, Portugal, Spain and Ireland will not be able to contribute to the fund of 750 billion euros in place in the heat of the Greek crisis. If Europe does not create its own Monetary Fund has the authority to control public finances of its members we are going to the disaster. However, the use of aggressive interventions and conditional on corrective measures have been specifically denied by Paris and Berlin. What worries the markets is a Europe that seems condemned to a process of intervention and decision is always too little and too late.
Europe must build a staff of crisis in permanent d è s now. I know … I swim in utopia. Gone are the European summits and presidential tantrums. Forget that the Commission has no knowledge of these problems. Let’s put procurement experts, government finance and central banks, not too many economists or lawyers. The decision will ultimately political, but measures should be designed based on a rigorous analysis of facts.
If this debt crisis, the European funds will not suffice and all Europe will be driven in a scenario that obviously the famous “stress tests” Europeans have not considered: the equivalent of a bankruptcy of some states , namely a debt restructuring that will reach primarily the larger European banks. For your information, these 750 billion euros exist only on paper. The maximum is mobilized 310 billion, after which new political decisions are needed. The 85 billion will be collected in Ireland on this installment. It has obviously spent the “technical” aspects in silence.
The perceived risk of contagion sets in: the Middle East, the United States and Asia will be tempted to limit their holdings of government bonds of European countries considered threatened. Outside the “four” in difficulty, the following list includes Italy and France as well as several smaller countries. This is particularly the case in Belgium so suicidal that continues to be concerned about his community problems. Only Germany, the Netherlands and Scandinavia to escape the wave of mistrust, but we should not count on Berlin to save the Euro without making drastic restructuring measures.
This time, Asia was embroiled. First, the debt of Japan is one of the largest in the world. In addition, Asian central banks are the largest holders of U.S. and European government debt and see their reserves lose value and their weakened currencies. The prospect of a world Creditors states (namely Asia and Middle East) will dictate the law to the International Monetary Fund or block actions towards Europe has frightening.
The jamming of political processes on both sides of the Atlantic makes the prospect of the crisis more likely. However, this is where the action should be situated. Unfortunately, that mechanism is blocked. As to the “austerity until 2012″ announced the French Parliament by the Prime Minister, it takes account of local politics, but believe me, the whole world does not care a lot for the 2012 elections. Both France and the United States, they will take place in a climate of crisis advanced. This will be anything but business as usual.
Democracy is in danger, and our social system with it. A reordering include a restructuring of at least five years. To us to decide whether we will lead or if we will be imposed.
BP and the financial crisis: troubling similarities
In recent weeks, I can not help feeling that exists between the behavior of BP in the Gulf crisis and banks in the financial crisis disturbing similarities.Closer Look.
- Risk taking BP and the petroleum industry have knowingly played our energy security at Russian roulette. Lobbyant giving hundreds of millions, they could start deep drilling in ensuring the complacency of the Bush administration and supervisory authorities. It must be said that the industry is that Texas and George W. Bush, like his father, were the representatives inofficieux the oil industry and the great friends of the oil producing countries.
- The incident that set fire to the powder: the face of these risks, the decision on the ground taken by the head of the platform further heightens the risk (as did Jerome Kerviel in exceeding the authorized positions). We can blame him: the fact is that the company gave him the means to take decisions without referring high risk.
- The pressure on profitability: the pressure at which the operators of these platforms are subjected has led them to go too far for reasons of gain whose magnitude is ridiculous compared to the risk. However, we must understand that if BP ended up having to compensate for a $ 10 billion, it will never be that profits last quarter.
- Managing the crisis: an attempt dishonest and not credible to blame other elements in the presence of Congress. You sound like those responsible for rating agencies, hedge funds blaming “the market”. Only now that Tony Hayward admitted that he launched in the Deep Sea Drilling “without the necessary tools.”This admission at least the merit of returning the industry to account.
- Lack of leadership: the boss of BP has not been visible during the first month of the crisis or in Louisiana or in the media: it has left its leaders (former BP Amoco acquired under his predecessor, Lord Browne) the impossible task of defending the indefensible. The waffle sapping it of credibility each day their interventions. This lack of leadership has permanently alienated the American public. After all, the boss of Toyota had made the trip to address the U.S. Congress in a case much less dramatic.
- The political interference has been low: Obama is the President who has long been outside of what will be a catastrophe of global ramifications. It’s good to accuse, to charge BP, but a bit short. It will have at least stopped the drilling of deep (37 in the Gulf of Mexico only) United States pending ensuring that intercountry security measures are strengthened.
- The inability of the American system to coordinate the actions of different authorities makes the show pathetic. The way the Governor of the State points his finger on the federal authorities but prevents them from working effectively relying on the authority of the State. It is believed to review the battles between the SEC and the Federal Reserve.
Behind it all reappears the same question that continues to haunt us: how the leaders of the oil industry have they dared to claim that the drilling depth was safe for the environment when it is clear now that no of them had the tools to cope with accidents?They had convinced the President Obama two weeks before the disaster to conduct such drilling in Alaska. How have they informed their Board of Directors (chaired by the President of Goldman Sachs International …) these risks? It seems that they are the same ills that prevail in the two industries … and probably some others.
Dollar vs Pound – Inside Forex trading !
Earning money online on internet is not that difficult , it just need a sharp and active mind to convert cents into dollars . There are lots of methods by which you can make money on internet like you can invest your money in forex trading or you can do freelancing on internet , both works perfectly these days , lots of people have made this their career and believe me its really very effective .
There has been some change in the weight of currencies during the past few weeks , in this regards Pound has seen its bad position as compared to US Dollar which is still the same . In the past few weeks Dollar has been seen trading on top of the forex markets because of its increased weight . Forex Trading now become one of the big industry for investors , many of us invest some part of our money in Forex Trading but do we know how positive we are about the results ? . Many of us just check the graph of currency, if its going up we buy some of them otherwise we don’t investigate properly which is not good in the long run . For me , I think it could work most of the time as I am not a big investor in this industry so if Dollar go down by .15 cents I won’t have a big loss but just imagine If I have a stock of around 1 billion Dollar ? , In such case I could have a loss in lacks .
So, the basic thing is your involvement and the amount of money have have invested in , if its a big figure then you must need to check some other things rather than just checking the daily ups and down’s in the currency weights , things like new political policies which could influence the forex market or some other big news which can bring some new change the the stock/forex trading business .
For this you must need to engage yourself with the news as with the age of time you will some facts and realities which will help you doing business in the long run . Polices are same as it was before but its been presented in different ways so you have to analyse and predict your future in such dynamic policies . I am also anticipating to get some engagement in this business , as its a good business to do side by side with the job . Everything is online , so anyone can do this business from anywhere online .