2012 was a year full of worries. It seemed like the Eurozone was on the verge of a major disaster. China seemed headed towards a hard landing. The US was on the brink of a 'fiscal cliff'.
2013. The change of calendar has suddenly changed the global sentiment. Stock indices across of the world have been rallying upwards. Of course, there was some relief in the form of a delayed fiscal cliff. The Chinese slowdown was not as bad as anticipated. But does that indicate things are getting better? Apparently not! Swiss economist Klaus Schwab believes that the risk of a global collapse is still very much there. Unemployment is still quite high in many developed economies. People are losing faith in government and corporate leaders. The Eurozone and Japan are in recession. The US is struggling with its debt ceiling. Any major shock from these vulnerable stocks could send the global economy in a downspin.
2013. The change of calendar has suddenly changed the global sentiment. Stock indices across of the world have been rallying upwards. Of course, there was some relief in the form of a delayed fiscal cliff. The Chinese slowdown was not as bad as anticipated. But does that indicate things are getting better? Apparently not! Swiss economist Klaus Schwab believes that the risk of a global collapse is still very much there. Unemployment is still quite high in many developed economies. People are losing faith in government and corporate leaders. The Eurozone and Japan are in recession. The US is struggling with its debt ceiling. Any major shock from these vulnerable stocks could send the global economy in a downspin.
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