Where will You put Your money in 2012-2013?

  1. Never-ending Eurozone crisis (No way will they solve their debt problems entirely),
  2. Slow recovery of the US economy with poor employment/economic data constantly being released, and a neutral market that’s awaiting the results of the Presidential election in November 2012 (On top of this, Standard Chartered’s money laundering scandals and Knight Capital’s technical glitch adds to America’s news column).
  3. Slowdown of the China, the world’s second largest economy. Statements have been issued that the Chinese economy is slowing to a ‘more sustainable pace’ (But we all know what that means). Evidence of this can be found everywhere, from a reduction in raw mineral imports, to a slowdown in the sale of expensive watches (used as a proxy to measure the number of business deals).
  4. Talks of currency tightening in Australia, the only stable advanced economy left. Former RBA board member Warwick McKibbin recently called for government intervention to tighten the growing strength of the AUD, attributing it to high demand not real growth (Valid point. Though he suggests printing more money to increase money supply).
  5. The economic performance of Singapore and other growing countries like Indonesia (and maybe Sri Lanka, depending on how you look at it) are very much influenced by the world economy.

So, the crucial question is, where will You put Your money? Precious metals or.. Precious metals? Maybe? No?
Have a read:
http://www.bloomberg.com/news/2012-08-13/silver-hoard-near-record-as-hedge-fund-bulls-recoil-commodities.html

(EW Market Report, click here.)

-EquityWatch