Thursday, 29 August 2013

12:21 – AEP has this to say about the collapsing BRICS economies: Emerging market rout is too big for the Fed to ignore: The US Federal Reserve has told Asia, Latin America, Africa and Eastern Europe to drop dead.

It’s not, you know. Too big to ignore, that is. No matter how this plays out, the world’s economy is going to take a big hit. It’s the Fed’s responsibility to minimize the effect on the US economy, and the hell with Brazil, India, China, and the rest. And, although the Fed has made pretty much nothing but mistakes for the last several years, in this case they’re making the best of a horrible situation by winding down so-called Quantitative Easing while there’s still at least a glimmer of a hope that it’s not too late. Too late for the US, that is. It’s already too late for the eurozone, and the BRICS are toast. Brazil is already a walking dead man, with India and China not far behind. They all hoped to avoid the so-called “middle income trap”. None of them managed to do so, and now they’ll pay the price. And a heavy price it’s going to be.

Work continues on building and shipping science kits. This month is shaping up well, at roughly twice the revenue of August 2012. That’s been helped along by a couple of large bulk orders, but even without those we’re doing pretty well.