Y2K Computer Bug
Y2K fears have proven to be the biggest Financial Hoax of all time. The pivotal danger rollover dates have all come and gone, seemingly with hardly any problems. But there may be a venomous sting in its tail!
As the countdown to Y2K drew to a close towards the end of 1999, a spirit of optimism dominated throughout the world. The uneventful Rollover into 1.1.2000 served to make fools, not only of Doom Prophets, but more so, of the most brilliant minds in the world, which indulged in a preventive spending spree of billions around the world, in order to update their computer systems against the risks of the Y2K date change.
Government printing presses around the world worked around the clock to print new bank notes. This new money was sent to Banks in the event they would experience a Bank run by the public. Easy loans were the order of the day. Most of this money found its way via investors into the Stock Markets in a speculative spree which was unique in history. The technological age brought the Stock Markets into the homes and offices of investors who could share in history’s greatest ever Boom Period with the push of a button on their computers!
An instant ‘New Economy’ was born, which defied every rule of the text books and made nonsense of traditional investment sobriety and acumen. Millions were poured into new born ‘dot.com’ companies in the technological ‘miracle age’ which had defied and conquered Y2K. Some of these companies were not much more than the brain child of a lone yuppy, run on a high powered computer in a basic office set-up, and backed by the confidence of the local Bank!
By the end of 2001, this ‘new economy’ has proven to be just a massive ‘bubble economy’, the puncturing of which could be even more disastrous than what the Y2K threat has ever posed to be! The Nasdaq Index, indicator of the Technology sector of the US Stock Market, dropped from its peak of 5048 in March 2000, to 1359 by the start of July 2002 – a drop of 73%. Yet, the world likes to believe that there is ‘no problem’!
The technological revolution of the 90’s and the successful computer date Rollover into the new millennium, has boosted man’s ego to limitless heights. The invincibility of mankind’s ingenuity seems to have been proven beyond any doubts. for once and all, and has managed to eradicate man’s need for a Creator God almost entirely.
This superiority complex and the letdown experienced by those who did take ‘unnecessary’ precautions, may well now serve to tranquilize mankind against the Biblically prophesied “Time of Great Distress” for which they should really have prepared!
Y2K could have a delayed sting in its tail which could yet bring down the entire world economy. The prospects of the effects of a financial meltdown in this turbulent and trigger-happy world, are too fearful to contemplate!