HONG KONG – The Year of the Rat that begins today threatens to see a build-up of international tensions, natural and air disasters, and a more turbulent stock market, soothsayers and analysts say.

Chinese fortunes are based on a belief that events are dictated by the different balances in the elements that make up the earth -- gold, wood, water, fire and earth.

Feng shui master Raymond Lo says this year will see the earth element sitting atop water, suggesting an outward solidity built on sliding foundations.

"The earth on top is Yang earth which symbolizes a mountain, and mountain gives a sense of stability and firmness. But such floating earth in the ocean is weak in foundation and the stability appears to be fragile," Lo said.

"This elemental relationship will bring a year which apparently is more stable but there are a lot of underlying tensions and confrontations."

The Rat is the first of the 12 animal signs, so marks new beginnings, which Lo said will be reflected in changes of leadership in the United States , Russia and Taiwan .

The rodent is also seen as a "flower of romance" which means the year will stimulate romance, but also sex scandals.

More worryingly, it provokes a clash between water and fire which could mean heavy flooding or a tsunami, Lo added.

"The most famous water disasters in history, such as the south Asian tsunami in 2004 and the sinking of the Titanic in 1912, both incidents happened on a date with prominent appearance of the Rat," Lo said.

He also said that the previous Year of the Rat, 1996, witnessed more than 20 plane crashes including the Trans World Airlines Boeing aircraft which exploded over the Atlantic , killing 230 people.

Lee Sing-tong, a third-generation feng shui master, said China may suffer a water shortage in the next 12 months.

But after the property bubbles in the US and China 's tightening monetary measures, Lee believes the US and China property markets will enter another chapter and will see stable development for the property market and economy.

Although the subprime crisis has caused concerns in the global economy, unexpectedly the property market will stabilize in 2008.

Lee said there would be a big change in Hillary Clinton's health and career but that doesn't necessarily mean she will hold political power.

In contrast, Clinton 's Democratic rival, Barack Obama, "has an in-born talent for leadership and is expected to be in an extraordinary political position in the next 10 years."

"There's a big chance that he will win November's presidential election in the United States ," Lee predicted.*AFP

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