There may not be any dramatic plunging...

But if it happens, a slow and gradual 'seeping in' over a period of time is usually how it works...

by the way, that is aka the trend...

niuyear      ( Date: 08-Jun-2010 13:46) Posted: The shouting of 'Short urrrrrr'  had been heard for months , and , more 'ppl'  are unable to accept the fact that STI still  never plunge to the low of 2400 or 1900 any sooner..............  LOL! iPunter      ( Date: 08-Jun-2010 13:19) Posted: hahaha... You are right... hao cong ming! People love the beautiful 'fundamentals' of stocks,    and thus they always expect them to be going up. But the stark naked reality is that stocks go up and down (very much). This is what many people simply refuse to accept.

The shouting of 'Short urrrrrr'  had been heard for months , and , more 'ppl'  are unable to accept the fact that STI still  never plunge to the low of 2400 or 1900 any sooner..............  LOL!

iPunter      ( Date: 08-Jun-2010 13:19) Posted: hahaha... You are right... hao cong ming! People love the beautiful 'fundamentals' of stocks,    and thus they always expect them to be going up. But the stark naked reality is that stocks go up and down (very much). This is what many people simply refuse to accept.

I don't think Laulan is intentionally insulting anybody...

  he is merely adding value to his post by bringing in he "fart factor" .

To Angmoh mind, fart is plainly fart ...

   and it will sound as clear as fart can be.

But to a local, if he enjoys smelling fart, he may simply give it a Cantonese name ("Fatt ") and relishes the smell of it in esctactic joy. 

But on the other hand, I think he is underestimating the real effect of the unified, monolithic and inter-dependent nature of the world's atmosphere ... oops, I mean economy.

hehehe... 

In the 1800s, Europe was the World Power because they colonize many countries and the brought valuable commodities back to Europe. Wealth was shifting to Europe.

In the 1900s, US was the World Power because they are the new world and new immigrants were bringing commodities to US. Wealth was shifting to US.

In the 2000s, China is going to be the World Power because China is the provider to the world. Wealth is shifting to China.

I don't think Asia will live in the shadow of the West.

In fact, I think China is going to be the next World Power, but the world now is very different from the 1800s and 1900s.

The world is smaller and every countries are, either directly or indirect, inter-dependent on each other.

We must be aware that what happens in the other side of the world can, directly or indirectly, affect us.

Yes... We must not follow US and Europe economy if they are burn to ashes, but we also cannot pull the plug, draw a line, and ignore them altogether.

If you disagree with us, I welcome you to share with us your view.

But, please refrain from insulting others just because others have different views from you.

This is a forum, everyone have their own views, please respect other people's view.

If you think you are right, just convince us why you are right with reason and logic.

No insults please.

Appologize... no offense and no discriminate on "uncles" or "aunties" in GP thread...

I refer to those as rich and willing to spend as "uncles" and "aunties"

not illiterate...

they are big spender in most area in singapore... even in casino...

You might be right.

As I do not have concrete evident, time & effort to prove my thinking/mindset is absolutely right.

I really hope to understand your thinking so that I learn another thing.

But when I look around, 

If China do not be the world factory, how can China feed the billion hungry stomach? How can China spend money like water that make their economy so lively? Where does the final product go to? Can China progress without Western people share their technology.

If China does not become big & rich, can Asian country survive?

So I ask myself, where is the root of all this come from? 

Example:-

(My job) I work with computer, window & linux software. ( Asian get job to sell or be supplier)

(My health) When my relative got serious illness & accident, they go to western style of operating room. (Where raffles medical .etc get their business)

(My entertainment) Avatar (How local build cinema & sell pop corn) IP Man (Using western technology), Local copy cat reality show (local artist salary, advertisement company get revenue) 

I wish to continue& continue.

I wish to tell the whole world how good is chinese feng shui, kung fu, culture, chinese philosopher thinker like Confucious.

I wish to tell the whole world how good is  Mahatma Gandhi, Buddha.

Conclusion,

Asian only good in refining product including Japan.

See how Japanese refine car and they brand it as Toyota, Honda.

See how Singapore refine petroleum, electronic, chemical, biomedical science.

Can Singapore survive without SIA fly to London, New York.

Can Singapore's PSA survive without those ship pass by Singapore port? So those container only go from India to China?

We should learn from everyone, every countries. Take the good of them, and throw away their bad.

Singapore only can survive during 1960, because Lee Kuan Yew learnt from all countries.

Bruce Lee is a legend just because he learn from Boxing, Thai Boxing, Wing Chun, Karate, they he combine the strength of every martial art and call it Jeet Kune Do.

Do not discriminate, extremist,  ultra pro on supporting certain party if you want to become good as a whole including investment.

And lastly, when we talk, we should talk a bit polite. My 3 years old niece do not need to read book & go to school in order to talk rough.

It take great inner peace, great patient,  great inner security, great self confident to explain that make people nod their head and agree.

Thank you 

Singaporeans are expecting to receive their work fare and GST rebates very soon.  An example of govt spending?  It is not really a spending.  It is redistribution of wealth?

MY_BOY      ( Date: 08-Jun-2010 10:03) Posted: Governments are tightening their belts in Europe.  Soon US will follow, actually most of the cities and states are already unable to foot their bills and their bonds are bought by retirees.....  there will be many sad people around.  We must help each other.

GDP go down,

MEAN: spending goes down.....

if no extra spending, no one will expect extra profit for the market... so, market goes down, due to a significant portion of market is due to optimistic future forecast...

some sector might still bloom... 

like during downturn, sometimes PC / consoles games sales or mcdonal sales goes up... due to less people go restaurant or other entertainment... only eat fast food or stay in home play game....

Y = C + I + E + G

where 

Y = GDP

C = Consumer Spending

I = Investment made by industry

E = Excess of Exports over Imports

G = Government Spending

good gdp= good market = good bonus = spending more = investment more...
a cycle la, link to each others
well, u know why we have so huge GDP?
mainly because governemnt spend..so how long can it last?
hmm, when gdp not good, or slowdown , = bad market?