Personal Financial Planning Tip

Currently low oil price won’t last long. I know you must have prayed this for long, and hey, god granted! but the truth is, there are just a lot of pessismistic feeling surrounding our economy. It is too much that enough to derail the true value of most of business assets and commodity prices.

The next question would be, till when?

Well, I’m personally just love this low oil price as much as you do. Unfortunately, I stringly believe this won’t last long. Not even by mid of 2009. Reason?

First, OPEC is getting serious already of getting production cut since most of them have huge budget deficit this year. They’ll cut more production to make sure they’ll get most of their assets and get back their initial investment. Secondly, our economy is not that bad actually. I know, no of job losses increases even the time I’m writing this post. The truth is, consumer confidence is getting better. As long as mass consumer start spending money the way they did before crisis, our economy will start growing; though not as fast.

Once oil start rallying, it’s not a rocket science to see inflation raise again. If that happen, people will start pouring most of their hard earned money into highest CD rates account. Neither conventional savings account nor checking account can beat the CD rates for sure.

Therefore, it’s not a bad idea to start digging which banks can offer such high CD rates from now on. The best, the one that you are most comfortable with. By doing that, you have extra advantage than the late comers later.