The Dubai World is still in serious negotiations with the top bankers for rescheduling of over 25 billion dollars worth loans. The Dubai government controlled reality major is set to default on nearly four billion dollars of payments due on December 14th.
Standard and Poor’s has already downgraded four of the leading Dubai companies as part of the evaluation of the crisis. Expect more downgrades in the middle east in the coming days. Gold prices are hitting a new high every day in the last two weeks, primarily due to the rush from investors for safe haven.