Saturday, February 02, 2008

Hop skip jump and back

Before world could wake up with a hangover of new year celebrations, tanker market rolled back into last autumn, shedding that three fold jacket.
Only consolation for tanker owners this time round was that they were not alone in the sinking boat. Dry market was experiencing the same gravity.
Rising energy prices, more bad news from subprime markets, crumbling US economy, fear of mounting inflation round the world soon triggered a universal fall in financial markets.
Certainly, we are passing through a transient phase. These periods are marked with high volatility. So 2008 will remain a volatile year on decrescendo. Nature will also be hostile. Being a macro man, I am not interested in quarter on quarter books. For a long innings, man would have to work out a low energy society with more flesh than flash. Hasty decisions would lead to loss of investment. A dark road ahead. Caution is the key word. Prudence is in driving with high beams on.