Do I read a lot? Actually not.
I only read a few books on investment for the past 3-4 years, which includes the 2 books by "Cold Eye", one on basic accounting and another 2 books on stock market investment.
I never read a single book about Warren Buffet and other famous investors, or other famous investment books such as Millionaire Next Door etc.
I do read one book from the Rich Dad's series though. That was long time ago.
I read newspapers almost everyday, but ONLY the Sports column. I find that I'm actually not too interested to read financial news. This is bad, I know.
I may flip through financial news on newspapers a few times a week, but I mainly read local financial news only.
I am still new to those financial jargon & the law of economy. You don't expect me to read something that I don't understand, right?
I get the financial & business news mainly online from i3investor and The Edge, but I only choose a few to read, as I'm not able to get online frequently now.
To force myself to read more, I started to subscribe to Busy Weekly in Nov14 when they were doing the offer. Til now there are a few editions that I didn't even read a single page.
So do not always agree with me. I still have many things to learn.
In order to become a better investor, I know that I need to force myself to swallow more world financial & economy news. It's not easy frankly.
I will write down my own view on current world economy in this blog so that it can serve as reference in the future.
Before Oct 2014, I thought that there was no reason for a bear market in 2015. The impression I get from financial news was that US & Europe were in the process of recovery.
The only concern might be China, who may face a slow down in growth.
Now with the unexpected drastic drop in crude oil price, the whole picture seems to change.
In order to eliminate competition from high-cost shale oil producers in North America, OPEC decided not to reduce their oil production.
As a result, crude oil price continue to drop.
Those net crude oil exporting countries are feeling the heat, including OPEC members.
Russia's situation is scary, with a double blow from the drop of crude oil price plus the effect of economy sanction by the West.
Its currency Ruble has crashed from 1 USD:35 RUB to over 70+RUB at one point in just a few months time.
It is a 100% drop. Just imagine if USD/MYR suddenly depreciates from RM3.20 to RM6.00...
To check the continuous depreciation of Ruble against USD, Russia central bank recently raised its interest rate from 10.5% to 17.0% overnight!
If this happens in Malaysia, I think many Malaysian with high debts including me will "mampus".
For the past one year, it is obvious that crude oil, crude palm oil & KLCI all retreats from its recent peak in mid-2014.