25 May 2006

US outmaneuvered by the Chinese

Rockford's Newspaper Rock River Times | rockford illinois news information: "Question: what is the connection between building skyscrapers and economic depression? New York’s Empire State Building recently marked its 75th anniversary. Asia Times says it is a great irony, but every time a record high skyscraper has been built, it has been linked to financial collapse.
The Empire State was begun in the 1920s and finished in the Great Depression of the 1930s.
Today, the Burj Dubai is being built in the Persian Gulf city-state of that name. Parallel to that is the sharp plunge in the Dubai stock market since December. The Dubai market has slid down 53 percent in four months, a collapse a major Wall Street firm’s analyst called “an adjustment phase.”
He told a newspaper: “We believe that Dubai is the Shanghai and Hong Kong of the Middle East.” That is not a great prediction. The Shanghai Stock Index is down 42 percent from its bull-market high point almost five years ago. Hong Kong’s Hang Seng Index is down 13 percent from its peak in March 2000.
Three buildings remain on the New York skyline as reminders of the exuberant Jazz Age. They are the Chrysler Building, the Empire State Building and the Manhattan Company Building on Wall Street.
Today, there also are three contenders for tallest building in the world—one in Malaysia, one in Taiwan and the one in Dubai. The first two held the title of tallest for only a few months.
Edward R. Dewey, who studied this ironic link in the 1940s, said the “world’s tallest” sell signal for stocks comes when a tower is conceived as it takes some time to complete. A new highest skyscraper always is occupied in the wake of a bull market that prompted the building’s creation. The Malaysian project to"

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