Friday, June 15, 2012

Greek crisis different from Lehman Brothers collapse

Greek crisis different from Lehman Brothers collapse
By Lynda Hong | Posted: 15 June 2012

SINGAPORE: Global markets are hit by jitters from the growing uncertainty ahead of the Greek elections.

Investors are holding back on concerns that a Greek exit from the eurozone may spark a global recession.

Europe's debt crisis has been looming for a year and talk of Greece's likely withdrawal from the eurozone after its elections this Sunday is getting louder.

Whatever the outcome, experts said a meltdown in financial markets, like the collapse of Lehman Brothers in 2008, is unlikely.

This is because investors would have already factored in that possibility. Back in 2008, investors who were caught off-guard by the bank's collapse made a quick exit from financial markets and caused a global liquidity crisis almost immediately.

Associate Professor Annie Koh, dean of Office of Executive and Professional Education at Singapore Management University, said: "I think the euro is not a reserve currency like the dollar. People are not really holding a lot of Euros so therefore, its global impact is not as drastic. When Lehman crisis took place, there was a squeeze for liquidity, and its dollar liquidity."

Analysts noted Asian companies are nervous with what's happening in Europe and are holding back on their expansion plans which are hampering overall economic growth in the region.

David Marshall, a senior analyst for Asia-Pacific Banks at CreditSights, said: "The bank loan growth is Singapore last year reached tremendous levels, up to 30 per cent annual growth in loans. That was fairly typical of what we've seen around the region but that is slowing down dramatically under the influence of the eurozone crisis and of course slowdown in countries like China and in India too. The loan growth has really come down to very, very low levels.>"

Stuart Allsopp, head of Asia Country Risk & Financial Markets at Business Monitor International, said: "The banking system is in relatively good shape compared to the rest of the world. It's well-capitalised and very liquid."

Some experts said Singapore and Hong Kong have the highest exposure to eurozone financial assets relative to their economies, while Australia, Indonesia and Malaysia are also at risk.

But trade with Greece shouldn't suffer too big of an impact in the event of an exit from the euro, analysts say this is because the invoices could be billed in another currency such as in US dollars.

Experts said Asia's exports to Europe, averaging 17.7 per cent, remains a major drag to the Asian economies.

- CNA/fa

Source/Extract/Excerpts/来源/转贴/摘录: http://www.channelnewsasia.com
Publish date: 15/06/12

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Warren E. Buffett(沃伦•巴菲特)
Be fearful when others are greedy, and be greedy when others are fearful
别人贪婪时我恐惧, 别人恐惧时我贪婪
投资只需学好两门课: 一,是如何给企业估值,二,是如何看待股市波动
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做自己熟悉的事,等到发现大好机会才投钱下去

乔治·索罗斯(George Soros)

“犯错误并没有什么好羞耻的,只有知错不改才是耻辱。”

如果操作过量,即使对市场判断正确,仍会一败涂地。

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高估期间, 卖对, 不卖也对, 买是错的。
低估期间, 买对, 不买也是对, 卖是错的。

Tan Teng Boo


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冷眼(冯时能)投资概念
“买股票就是买公司的股份,买股份就是与陌生人合股做生意”。
合股做生意,则公司股份的业绩高于一切,而股票的价值决定于盈利。
价值是本,价格是末,故公司比股市重要百倍。
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1.有智慧,不如趁势
2.止损不止盈
成功者所以成功,是因为不怕失败!失败者所以失败,是失败后不再尝试!
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