You can hedge your fuel consumption by buying Big Oil stocks. Part of every additional dollar you pay at the pump ends up in the dividends you receive.
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In many countries up to half the price of the oil are governnent taxes. In Taiwan the price of oil really isn’t a big deal anyway.
No panic selling, no price goes down.
Taiwanese real estate owners are of another kind, they don’t need the money, estate can sit empty for generations they don’t care.
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No credit crunch either. In fact central banks are keeping their interest rates super low.
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That’s the main issue. I thought ten years ago when the market stagnated that the sellers would eventually come to the realization that they weren’t going to get the astronomical price that they wanted and come down to earth on the pricing. But I think that is the crux of the issue, they have the money, the homes are not leveraged, and they can sit on them forever.
Then the home owners know that society will eventually force young people to pay their inflated prices due to pressures of a man to own a home to get married and have a family.
Hong Kong and Japan’s real estate came down during the recessions but not Taiwan. I’ve personally decided not to own a home as the rent to own ratio isn’t in my favor if i buy.
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Shits gettin real. 7% drop so far. Stock market halted…
Lower oil prices can have benefits for countries like Taiwan though, as Taiwan imports most of its oil. Good news for China as well, they are the #1 oil importer in the world and their economy needs all the help they can get. Losers are of course Iran and Venezuela. US has also become an exporter so it’s not great for the US either. But certainly not as bad as Iran or Venezuela where oil exporting is a huge Chunk of their economy.
The question is, do I continue with my dollar cost averaging approach, and keep putting my money into my index funds every 2 weeks, or wait a bit and dip into the savings to put a pile in nearer the bottom (and I then pay back the money borrowed with the cash that would have gone into the dollar cost averaging)? Hard call, hard call.
also, a lot of the people pulling out of stocks will want to put the money on the safe haven of real estate.
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there are less and less kids, so there is less people getting married and being pushed to own a house.
I have colleagues in their 30s still living at home with parents.
in 20 years, real estate here will be cheap…
dont dip into savings. that is speculation that might bite you in the ass. it’s the same as dipping into savings to go to vegas. timing the market is impossible.
I’d continue with dollar cost avering for now, if you are uneasy about it, put the money in a money market fund for 3 months and then resume buying.
do what makes you sleep well at night, dont dip into savings for stock market
It is already happening
Not only that, but those kids won’t have any money when they’re 60 and their parents are starting to die cuz wages suck and pensions are horridly managed. Their only choice if they want money to retire will be to sell a few of the houses their parents acquired. With the insanely low population, no one will be there to buy them, and the bubble will burst.
You can see this population decrease is a problem with the universities right now, moving up the timeline of life, houses will be next, but we’ll all have to wait patiently.
This is, of course, assuming Taiwan remains relatively independent and doesn’t end up in China’s hands.
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it depends on location and attractiveness of course.
NTU will always have students trying to get in, and xinyi will stay expensive for some time.
it’s the "national forestry university of miaoli " that will take the hit.
as for housing prices: out of taipei prices are still reasonable, but no work and boring…in taipei its crazy, a 2br in a 40 year building goes for 30 million nt…
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Don’t bet on that.
When I see this global plunge of stocks, it makes me happy because I will be able to see an opportunity to see living costs get cheaper as long as I am employed. I can even have an opportunity to buy stocks cheaper.
Only a fool would invest in oil after their prices took a hit. But when you look at the price of gold, man you can’t go wrong with gold. The price for gold have have fallen but only buy a little bit. You’re still better off with gold than you are with oil.
Don’t bet against it. 
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I think you’re overlooking the basic definition of “recession” 
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Invest only if you have a budget for it.
Choose companies that make good solid products. Even if the stock value drops they will still pay dividends and time will come for it to recover.
I would say don’t catch the falling knife that is stock markets right now. Leave it until the real recession hits.
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