We have to face hyper-inflatonary situation in coming few years.why?because
1. Rate cuts by all the global banks has flooded the market with lot of paper money .
2.Fiscal stimulas and bail out packages by many goverments also increased paper money in market.
3.Due to slow down many industries had postponed there expansion plans.
4.Demand from china will continue to increase.
5.Revival of american and european economies at the end of this year will increase demand.
6.Due to drop in oil prices OPEC countries are decreasing there output and postponing new investments.
So, moral of the story is be contrian investor, invest in natural resourses company,oil & exploration comanies. Some invesment ideas,selan exploration,sesa goa,cairn india,dolfin offshore,gujratNRE coke.
