August 23, 2002
Arab Investors vs US: You Sell, We Bought!
Moves by Saudi investors to shift tens of billions of dollars out of the US have added to market concerns that global fund managers are becoming increasingly disenchanted with the US, analysts said on Wednesday.According to some independent analyst, this anxiety comes speculatively from widen law treatment from major families of 9/11's victims. The Saudi (mostly royal family) suspected has a relatives or connected with 9/11 terrorist. In while, this followed by major law treatment by most Arabic student and families who felt abused and terrorized by media and US's communities.
Economists and bond strategists were on Wednesday considering the impact of Saudi disinvestment on the dollar and US Treasury prices, following an FT report that as much $200bn of Saudi money may have left the US in the last few months amid deteriorating bilateral relations.
"Watch for Middle Eastern asset switches out of US dollars into the euro," UBS Warburg's London-based fixed-income team advised in its daily note. "If a trickle becomes a flood, it could force the spread [of US Treasuries to German bonds] wider in double-quick time."
Posted at August 23, 2002 03:31 PM | World
