Despite market concerns the real economy shows signs of robustness

Fear is a strong emotion and one that can easily engulf even investment professionals. Recently, sh...

Fear is a strong emotion and one that can easily engulf even investment professionals. Recently, share prices around the globe sank amid concerns that US mortgage firms Fannie Mae and Freddie Mac, the guarantors of nearly half of US mortgage debt, might run out of cash. Once again, the US administrative and fiscal authorities reacted swiftly to this latest strain in the financial system. Fear about further fallout from the global credit crunch can give rise to an overactive imagination and irrationality. With fear taking hold like a contagion, pointers to the real economy can become obs...