China and Asia Stock Alert

IBM moves

Tony Sagami — Thu, 26 Mar 2009 06:36:47 +0000

IBM announced that it is going to lay off 5,000 U.S. workers and shift many of those jobs to India. Did you know that 71% of IBM’s 400,000 employees work outside of North America? That ups from 65% in 2007. Getting computer nerd training was a sure-fire way to a successful technology career a few years ago. [...]

Business crashes at Taiwan chip testing company

Tony Sagami — Thu, 26 Mar 2009 06:27:03 +0000

Taiwan-based ChipMOS, a company I visited it during my last trip to Taiwan, is a chip testing company. The last thing you want your new computer to do is not work when you take it out of the box. ChipMOS (IMOS: 12.46 -0.71 -5.39%) makes sure that doesn’t happen. Business stinks though. Q4 sales dropped by [...]

China: Architecture in Recession

Tony Sagami — Thu, 26 Mar 2009 06:16:32 +0000

Skidmore, Owings & Merrill, one of the world’s largest architectural firrm and a big beneficiary of the China building boom, is laying off people because of the lack of work in China. “Six months ago we were turning down work,” says Silas Chiow, SOM’s China director, and “the next six months are going to be [...]

Japan exports drop by 50% in February

Tony Sagami — Wed, 25 Mar 2009 22:25:03 +0000

Japan just won the World Baseball Classic yesterday but its exporting companies are conquering anything. The Japanese Finance Ministry reported that exports shrunk by 49.4% in in February from the previous year. That is, by the way, the biggest drop in two decades. That puts Japan on course for its worst depression since WWII. By the way, the [...]

China leads globe in executions

Tony Sagami — Wed, 25 Mar 2009 22:20:05 +0000

You can have capitalism without democracy. People tend to forget that about China. According to Amnesty International, China lead the world in executions in 2008 with 2,390. That’s about seven people a day! For perspective, Iran executed 376 people last year. Don’t get into trouble in China.

Yum Brands buy 20% stake in China restaurant

Tony Sagami — Wed, 25 Mar 2009 22:10:14 +0000

If you’ve never enjoyed a Chinese ‘hot pot’ dinner, you’re missing out on one of the greatest meals in all of China. You do need a cast iron stomach and an affinity for HOT food. But I absolutely love them. Yum Brands (YUM: 70.34 -1.15 -1.61%)is pay $63 million for a 20% stake in Little Sheep [...]

U.S. sub-prime holdings kill Bank of China profits

Tony Sagami — Wed, 25 Mar 2009 21:59:58 +0000

The Bank of China reported a 59% drop in its Q4 profits. The Bank of China owns more U.S. subprime securities of any Asian institutions with $2.59 billion of toxic junk. How toxic? The Bank of China has aleady written off $2.25 billion of it.

China backs a new world currency

Tony Sagami — Wed, 25 Mar 2009 21:51:41 +0000

You’ve probably never heard of him but Zhou Xiaochuan is the Governor of the People’s Bank of China, which makes him the Chinese equivalent of Ben Bernanke and Alan Granspreen. Except even more powerful. Zhou is recommending a new “super-sovereign reserve currency” to replace the dollar as a the main global currency and “create an international [...]

India: U.S. Fed is out of bullets

Tony Sagami — Sun, 22 Mar 2009 19:13:50 +0000

The Chairman of India’s top economic agency, the Planning Commission, described the corner that Bernanke has painted himself into pretty accurately. “Fortunately, we have more room for further relaxation unlike some of the industrialized countries where the scope for monetary easing has been pretty much exhausted.”

Singapore: 3 years to recover

Tony Sagami — Sun, 22 Mar 2009 19:04:24 +0000

Former Singapore Prime Minister Lee Kuan Yew said that the optmistic outlook for an economic recovery will be at least 2-3 years but could take up to six years. The optimistic case is based on a rapid rebound of the U.S. economy. My advice to Singapore is to not hold their breath for the U.S. [...]