All commodity prices have fallen, the stock market continues to slide and there has been a rush to US treasuries which are regarded as risk averse. The Australian currency which was performing the most strongly vs the US$ has experienced the sharpest correction. These are short term moves and will correct as Japan moves to build the affected regions. The human tragedy unfolding is quite another story and it is heartbreaking to watch the scenes of devastation. A nuclear meltown will compound their problems.
I think we are all looking at those scenes on our screens and are in awe of nature's power. Those of us who live on the West coast are going to experience a similar earthquake in the next 100 years and it is truly chilling to wonder if we would cope with the grace and resilience of the Japanese people.
The nuclear threat that has been evident in Fukushima power plant is certainly going to be a boost for our gas and oil exports as demand for conventional energy will soar and countries regard a nuclear option as an unacceptable risk.
Let us hope for a miracle at Fukushima. It is not looking good as I write this post.
