We would come to know early next week when details of restructuring is
given. It is not a technical default, but rather could be event of
default in most agreements which could cause early prepayment of entire
loan obligations. Unless the matter is handled properly by Dubai, it
could easily lead to withdrawal of existing foreign investments forget
new investments.
Sovereign or quasi sovereign exposure restructuring in such a way is
worst thing which could have happened. Even if handled properly, this
would lead to tarnishing reputation and credit spreads of the region.
Considering the repercussions, I do not think that they would think
twice before selling gold if situation comes to that level.
Regards,
Sagi
-----Original Message-----
From: sri ganeshh <sriganeshh@yahoo.
To: Technical-Investor@
Sent: Fri, 27 Nov 2009 9:09 pm
Subject: Re: [Technical-Investor
hi
I dont think the situation is so worse....
it is just technical default with dubai world seeking rearrangement of
loan schedule till abudhabi finalise its bailout package....
further from my wkg experience, all the eventualities are well insured
and hence the repercussion will be elsewhere like europe or usa in
areas say they may sell their investment holding in various big
corporations, banks pulling out performance guarantees from insurance
and which inturn taking toll on reinsurances.
linkage of dubai with world markets is deeper...but the situation will
never be allowed to go out of control as happened in usa..
finally if nothing works out, gulf cooperation council is always there
to bail out....
sriganesh
--- On Fri, 11/27/09, FLOYD JOHNY LEWIS <fjl24@yahoo.
From: FLOYD JOHNY LEWIS <fjl24@yahoo.
Subject: Re: [Technical-Investor
To: Technical-Investor@
Date: Friday, November 27, 2009, 10:57 PM
Hi KKs
They would definitely make Abu Dhabi do that.
HE Sheikh Mohammed is married to one of the daughters of the late
President of UAE and Ruler of Abu Dhabi.
Regards
Floyd
--- On Fri, 11/27/09, kk s <kumar40@hotmail. com> wrote:
From: kk s <kumar40@hotmail. com>
Subject: [Technical-Investor ] Will dubai sell gold
To: technical-investor@ yahoogroups. com
Date: Friday, November 27, 2009, 10:34 AM
Is there a chance of dubai selling gold to save their undies????
Wil that affect gold prices
Kumar
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