MALAYSIAN TSUNAMI

As Forex traders,we know of two important issues - the Internet and Inflation. We use the Internet to trade Forex and we know inflation tends to push up values of currencies (through interest rate differentials). Somehow, Malaysia's ruling coalition forgot these rules.....Should come to my Fxoptions classes, eh? For the political tsunami that washed away the West Coast of Malaysia (Selangor,Perak,Penang, and Kedah, not to mention Federal Territory) is the result of a well-coordinated campaign in cyberspace. These feelings of uneasiness were furthered aggravated by inflation in daily goods and services - as can be seen by the rising DBC Commodity Index (wheat and fuel have risen dramatically in the past few weeks). This created a perfect storm for the Rakyat to voice their displeasure, which they gleefully accepted in full force. The outcome was something we never saw before as the Mainstream Media were at a loss of words to report what was going on after Penang, Kedah, Selangor and Perak all fell like dominoes (count in Wilayah too, except that there's no state called Wilayah). What's my hope? That the Government and new State Goverments (they're not "Pembangkang" anymore.....he he he) work together to keep prices in check. We are still in the middle of a commodities bull run that could take prices even higher. More than ever, we need a "welfare state", albeit temporarily, or run the risk of more of the rakyat falling below the "poverty line" (be it real or virtual). And even if commodities were to come down, it would probably be in response to a recession, which is also not good. Lets hope for the best. The brave people of Malaysia have chosen, so the Governments (federal and state) should give them what they want! POWER TO THE BLOGS AND PEOPLE!

Btw, could be use Kelantan's humungous gas reserves to subsidise our fuel and gas?

Chief Shook