Abstract Science Construction’s business is in planning, developing and building road projects. The major of its clients are municipalities, city governments, and other public sector entities. While the bankruptcy rates for these clients is very low, when economic downturns happen, their ability to pay in a timely fashion also suffers. This leads to businesses such as Science Construction needing to take on additional debt and to find creative methods in order to stay afloat during times of recession. Methods such as selling accounts receivables at discounted rates and taking larger lines of credit through banks and other lending institutions are some of the ways organizations can remain viable when their cash inflows have turned into a trickle. Science Construction is asking the Turkish Courts to postpone their bankruptcy proceedings for a year while they attempt to restructure. Through this, suggestions such as forcing shareholders to pay their debt to the organization, gaining credi...
The inflation in tandem with spiraling oil price is taking heavy toll on stock indices in Indian as well as all the major global burses. The south bound journey of stock indices is continued all over. No one seems to know how long they will last or when they will bottom out! Individual investors are shaky to burn their fingers; institutional investors seem to have diverted their fund towards more rewarding commodity market where speculation in oil is high. This may be another reason for the oil price`s apparently sky bound journey. The recent declaration of Iraq to open up their oil fields to corporate sectors is likely to take time. In the mean time Saudi Arabia has promised to increase their output from this month but nothing seems to work. Every day the oil price is touching new high and so the inflation.
However, if we compare the different stock markets, we find that the countries which are commodity exporters are better than those economies which are net commodity importers. For example, the stock markets of Taiwan, China, India, Turkey, Thailand, Philippines, and Korea are not doing well in comparison with Russia, Argentina, Brazil, Malaysia, Indonesia and South Africa. Though both the groups are more or less equally under inflationary pressure and affected heavily by inordinate hike of crude price hike. The only difference between them is the first group is net importer of commodity and the other is commodity exporter.
Countries like India and Turkey, share more or less same position in global stock market ranking are suffering in the same way. Both the countries are big oil importers, their import bills are running around 5% of GDP. Neither of them exports any major commodity to absorb the oil import shock. Where as Russia and Nigeria, though under tremendous inflationary pressure, being commodity exporters are still holding up. However, history suggests whenever a single factor is ruling market behavior is not sustainable. So long the oil continues to move high it may, at last , after all what goes up that comes down too!
However, if we compare the different stock markets, we find that the countries which are commodity exporters are better than those economies which are net commodity importers. For example, the stock markets of Taiwan, China, India, Turkey, Thailand, Philippines, and Korea are not doing well in comparison with Russia, Argentina, Brazil, Malaysia, Indonesia and South Africa. Though both the groups are more or less equally under inflationary pressure and affected heavily by inordinate hike of crude price hike. The only difference between them is the first group is net importer of commodity and the other is commodity exporter.
Countries like India and Turkey, share more or less same position in global stock market ranking are suffering in the same way. Both the countries are big oil importers, their import bills are running around 5% of GDP. Neither of them exports any major commodity to absorb the oil import shock. Where as Russia and Nigeria, though under tremendous inflationary pressure, being commodity exporters are still holding up. However, history suggests whenever a single factor is ruling market behavior is not sustainable. So long the oil continues to move high it may, at last , after all what goes up that comes down too!
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