It's a Bird, It's a Plane, No! It's SuperFed!

Evil Xeo with his evil doves, trying to destroy Wall Street by hoarding lots of USD...

No. SuperFed is not some health supplement that will eradicate Ebola and save the world.

It's actually stands for "Super Federal Reserve System of America" or more commonly known as the US central bank.

The Villain known as Xeo Lye, was rubbing his hand in glee as the global stock market crashed, taking down all the billions of dollars every day. There were panic on the streets as the men on the streets were shouting, "The stock market is crashing! Ebola is going to kill us!"

Just when the villainous Xeo Lye thinks that his plan watching the global stock market burn and crash with a highly possible 20% market correction, SuperFed flew in and smack our evil villain with his super powers.

Troubled Times for Asia and Europe. Commodity Prices take a Beating

The month of September saw the economy of the different regions diverge even more significantly. The US economy strengthen and with the prospect of the US central bank ending their QE bond purchase program and a possible earlier than expected rise in the interest rates, the US stock market becomes more volatile than usual. The development from Europe and Asia made investors flock towards USD, causing the USD appreciate dramatically, not seen since the 2007 financial crisis. 

Trouble Brewing in Asia and Europe

The economy in China continues to indicate a slow down and decreased the possibility of hitting the 7.5% growth target. The China government has loosen some of the money supply but this doesn't seem to encourage global investors from moving into the China equity market. The "Occupy Central" movement further discouraged the investors from investing into the Hong Kong stock  market, of which almost 50% of the capitalization are made up of Chinese companies.

A protester (C) raises his umbrellas in front of tear gas which was fired by riot police to disperse protesters blocking the main street to the financial Central district outside the government headquarters in Hong Kong, September 28, 2014.
(Reuters / Tyrone Siu)

The Japanese Yen continues to slide towards a record low as the Japanese central bank made no indication to stop their own monetary loosening  program. The slide in the Japanese Yen creates an additional risk that emerging market currencies might cause an extended sell-off that will lead to further inflation and potential foreign debt crisis.

Review of 5 Elements of Successful Investors by Big Fat Purse

A big thanks to Big Fat Purse and Alvin for reviewing my book. 5 Elements of Successful Investors. You can buy the book from all Kinokuniya Bookstore in Singapore and all major bookstores in Malaysia or you can get a discount by supporting our crowdfunding campaign at Crowdtivate

You can read about the review here.