Prepare for more pain ahead

It is estimated here that total losses from the credit crisis will reach 400bn USD. The tally so far is about 160bn, so there is still more pain to come.

Recent reports were debating about the seemingly wide mismatch between the gloom in the credit markets and the sunny outlook in the equities universe. There is a bit of a spillover delay effect at work there and I guess today, with the Dow falling almost 200points, the markets are gradually converging.

There is definitely a slow down heading our way - tighten your seat belts and enjoy the ride!!