Tuesday, December 6, 2011

Standard & Poor's has confirmed that it has placed EFSF's long-term AAA ratings on credit watch negative. After review, EFSF ratings "will likely be the same as the lowest issuer rating we assign to the rated EFSF members we currently rate 'AAA', unless there are offsetting credit enhancements in place."

Run, don't walk, to read Jeremy Grantham's quarterly letter, "The Shortest Quarterly Letter Ever."

As the title infers, Grantham's letter is to the point.

And it's free!

The Shanghai Index is now at the lowest level since the third week of October.

China has about 23% of the world's population but only approximately 7% of the world's fresh water supply. Moreover, China's water resources are not distributed proportionately; the 550 million residents in the more industrialized northern area of the country are supported by only one-fifth of the fresh water and the 700 million in the southern region of China have the other 80% of the country's fresh water supply. The shared resources of water supply have been a focal point of conflict between China and India since the 1962 Indo-China War.