What to Make of Bernanke's Speech Yesterday

After another long day at work, I was exhausted and was lying on my sofa, half asleep. Bernanke just said that the Fed will keep rates at 0.25% for a few more months. He insisted that inflation is transitory and that the Fed is ready to act when they see signs of peri\sistence in inflation. The fact that the decision to hold rates was unanimous meant that nobody in the FED dared to kill off a nascent economic recovery. After all, unemployment rate was still at 8.8%. The FED won't rest until unemployment falls below 8%.

QE 2 will be allowed to run its course. QE 3 is a possibility if GDP figures turned negative but at the moment unlikely.

I decided that stock markets are likely to be given a lifeline for a few more months. The sectors to target will particularly be precious metals, especially GOLD. So I bought gold call options and bingo, it rose from USD1500/oz to USD1550/oz. Fantastic.

The party may last beyond QE2 because of the low inflation rate in the US and better than expected earnings growth.

The Results Under Me

So many people got the results that they wanted. If they wanted more, they got it. They never had it so good. Yet they longed for the good old days. I wonder what do they want? Why does the world love the loveable and shallow?? Why can't they scratch beneath the surface and look at substance?

To Climb the Corporate Ladder, You Need More PR Than IQ

I have worked for all kinds of bosses. Some are knowledgeable and have good PR. They are inspirational to work for. Some have no knowledge but can still put up a front. It's all sizzle and no steak. They get threatened easily by subordinates who are more capable than them. They fudge the issue, become biased, put down the more talented and bring up those whom s/he thinks are no threat to them. They often say, "knowledge can be bought". Then there are those who have knowledge but are nasty. They are difficult to work for. But you can learn a lot working for them.

The most important attribute of a boss is one who look at facts and is able to quantify efforts. One who is able to motivate the team. One who will fight for his team when it comes to rewards. One who is not easily threatened by a more talented colleague.

I have been thinking that I need a shift in my value system since I took on a new role. It's more about PR, yet not giving up that good analytical skills that brought me great returns so far in my life. I aim to shift to the first group. The US President Obama is an example of such a leader. God help me become like him.