Saturday, May 30, 2009

Stock market: 'We're in the yin phase'

According to Chinese philosophy, yin (shadow) and yang (light) are complementary energies that form a universe. It is a convenient mythology that has, over time, been used to help smooth the many paradoxes associated with modern life.

By Carl Stick

In recent years the mythology of yin and yang has been applied to the economic and business cycles

In recent years, it has been applied to understanding of the nature of economic and business cycles. The conclusions may have implications for how we, as investors, steer through torrid times.

The main proponent of this theory is Richard Koo, chief economist of the Nomura Research Institute, and well known for his examination of "Japan's Great Recession", from 1990 to 2005.

more in:
http://www.telegraph.co.uk/finance/personalfinance/investing/shares/5403059/Stock-market-Were-in-the-yin-phase.html