and go away! Not really ,but do note that resources such as gold ,coal and platinum group metals have soared in the last couple of months , coming off lows and driven by speculators.
There is really no sign that there is an increased demand at this stage. The recovery continues, but at a snails pace.
Best to wait till August before entering any large buying moves.
Wednesday, May 4, 2016
Friday, April 1, 2016
OUR BACKS TO THE WALL!
Our finance minister with years of experience is doing a great job bringing order to our fiscal system.
TRANSFER TO MINING NEWS IN THE INDEX ABOVE FOR THE LATEST ON GOLD AND PLATINUM
How ever as hard as he tries and he has succeeded in bringing almost every one on board even the major trade unions as they see the number of jobs declining due to circumstances world wide.
The major reason is of course that we remain a basic producer of metals and minerals. The demand for these has declined drastically and of course the needs of the poorer citizens have to be met to keep their body and souls alive!
Therefore I RELUCTANTLY forecast that we will be downgraded to junk status(i.e. non investment grade) ,likely this winter. We are held in such good stead that countries such as Brazil and Russia were downgraded a considerable time before us.
The good news is we are unlikely to be downgraded further and not if but when demand for commodities improve we are likely to be upgraded before many other countries of the world.
I hope we have learnt our lesson and in future keep strict fiscal discipline!
TRANSFER TO MINING NEWS IN THE INDEX ABOVE FOR THE LATEST ON GOLD AND PLATINUM
How ever as hard as he tries and he has succeeded in bringing almost every one on board even the major trade unions as they see the number of jobs declining due to circumstances world wide.
The major reason is of course that we remain a basic producer of metals and minerals. The demand for these has declined drastically and of course the needs of the poorer citizens have to be met to keep their body and souls alive!
Therefore I RELUCTANTLY forecast that we will be downgraded to junk status(i.e. non investment grade) ,likely this winter. We are held in such good stead that countries such as Brazil and Russia were downgraded a considerable time before us.
The good news is we are unlikely to be downgraded further and not if but when demand for commodities improve we are likely to be upgraded before many other countries of the world.
I hope we have learnt our lesson and in future keep strict fiscal discipline!
Tuesday, March 1, 2016
ADDITIONAL ASSET CLASSES
Most of us have read at certain times that money is not worth the value of the paper its printed on!
Unfortunately this is turning out to be the norm , more often than we would like!
It was obvious that there was not enough gold in the world to cover all the paper currencies as in the past. Coming up with PAPER GOLD as it was called was not the answer, but the chosen method politicians decided on. It was thought that the working endeavours of ordinary citizens would always be equal to the value of a currency. As time has gone on cracks have started to emerge, but the method of dealing with this situation is to ignore it and never mention the bind we find our selves in.
So this has now led to a even more dangerous phenomenon called the BITCOIN ,which we are told is mined out of thin air, according to a complicated mathematical formula, which no one fully understands with no backing of any kind.
TANGABLE ASSET CLASSES are now forming additional methods of preserving wealth so as all our hard earned value is not lost.
GOLD,PLATINUM GROUP METALS,SILVER ,DIAMONDS ARE TRUE WEALTH PRESERVERS, AS THEY CAN BE USED AND STORED AS BARS,COINS OR AS JEWELLERY OR A COMBINATION OF THESE (EXCUDING DIAMONDS OF COURSE).
ANOTHER ADVANTAGE IS THAT THEY CAN BE EASILY CARRIED OR SOLD.
REAL ESTATE UNLESS IN VEHICLES SUCH AS REITS,, CAN BE A BIND IN TIMES OF DISTRESS AS THE FORMER ARE EASILY DEPOSED OF.
STOCK EXCHANGE SHARES ARE ALSO EASILY DEPOSED OF OR BOUGHT IN THE RIGHT SECTORS,MUCH BETTER THAN FIXED DEPOSITS ETC.
Stamps and paintings might not be easily deposed of in times of stress and similar objects such as antiques.
THE LATEST PAGE UPDATES ARE AT THE TOP ARE ALWAYS AT THE TOP OF THE INDEX ABOVE
Unfortunately this is turning out to be the norm , more often than we would like!
It was obvious that there was not enough gold in the world to cover all the paper currencies as in the past. Coming up with PAPER GOLD as it was called was not the answer, but the chosen method politicians decided on. It was thought that the working endeavours of ordinary citizens would always be equal to the value of a currency. As time has gone on cracks have started to emerge, but the method of dealing with this situation is to ignore it and never mention the bind we find our selves in.
So this has now led to a even more dangerous phenomenon called the BITCOIN ,which we are told is mined out of thin air, according to a complicated mathematical formula, which no one fully understands with no backing of any kind.
TANGABLE ASSET CLASSES are now forming additional methods of preserving wealth so as all our hard earned value is not lost.
GOLD,PLATINUM GROUP METALS,SILVER ,DIAMONDS ARE TRUE WEALTH PRESERVERS, AS THEY CAN BE USED AND STORED AS BARS,COINS OR AS JEWELLERY OR A COMBINATION OF THESE (EXCUDING DIAMONDS OF COURSE).
ANOTHER ADVANTAGE IS THAT THEY CAN BE EASILY CARRIED OR SOLD.
REAL ESTATE UNLESS IN VEHICLES SUCH AS REITS,, CAN BE A BIND IN TIMES OF DISTRESS AS THE FORMER ARE EASILY DEPOSED OF.
STOCK EXCHANGE SHARES ARE ALSO EASILY DEPOSED OF OR BOUGHT IN THE RIGHT SECTORS,MUCH BETTER THAN FIXED DEPOSITS ETC.
Stamps and paintings might not be easily deposed of in times of stress and similar objects such as antiques.
THE LATEST PAGE UPDATES ARE AT THE TOP ARE ALWAYS AT THE TOP OF THE INDEX ABOVE
Monday, February 1, 2016
South African Financial Strength
Visit the index above as the latest page updates are placed first in the index .
Our economic ship has steadied since the appointment of our finance minister Pravin Gordhan has been re-appointed .This man has a good record of managing our financial affairs in the past and was a good choice after the two light weights just before his appointment .As a result the Rand has shown signs of strengthening , at least for the time being!
We are the most stable financial country on the African Continent.
Our government has stuck to the capitalist system for the most part, despite agitation from the far left. Unlike many other states in the world it is easier to remove money quickly from our country as there fewer constraints .
The South African Republic does not go in for "ambush economics" such as Nigeria now seems to be doing. Now that their oil industry is failing and they cannot balance their budget, they have taken to fining all the large companies such as our own MTN ridiculous amounts of money for frivolous reasons. Western world companies are also finding out they also in the line of fire! Surely in the longer term this will negate new companies investing there.
Through its long history South Africa has always paid what it's borrowed from banks in other countries.
Our economic ship has steadied since the appointment of our finance minister Pravin Gordhan has been re-appointed .This man has a good record of managing our financial affairs in the past and was a good choice after the two light weights just before his appointment .As a result the Rand has shown signs of strengthening , at least for the time being!
We are the most stable financial country on the African Continent.
Our government has stuck to the capitalist system for the most part, despite agitation from the far left. Unlike many other states in the world it is easier to remove money quickly from our country as there fewer constraints .
The South African Republic does not go in for "ambush economics" such as Nigeria now seems to be doing. Now that their oil industry is failing and they cannot balance their budget, they have taken to fining all the large companies such as our own MTN ridiculous amounts of money for frivolous reasons. Western world companies are also finding out they also in the line of fire! Surely in the longer term this will negate new companies investing there.
Through its long history South Africa has always paid what it's borrowed from banks in other countries.
Friday, January 1, 2016
NEW YEAR EXPECTATIONS
Our local South African market the JSE is oversold at the moment. Of course our financial state is not good as our balance of payments is not improving with very low demand for our commodities and with rating agencies hovering to reduce us to junk status, as we hold on just one notch above junk at the moment.
How ever there signs of some commodities such as copper , platinum group metals , even iron ore having reached a low plateau now as mines tighten their belts taking steps not to over produce and also following tight business principles ,major producers are ready to ride the bad times as they aim to carry on at break even rates.
We feel that stock prices will not fall further in Rand terms as the USD strengthens our Rand weakens and we receive more income. This is because most of our commodities are rated in USD.
The real recovery in commodity prices is likely only to start taking place toward the middle of 2017 and be in full swing towards the end of 2018!
There is enough information on overseas markets available out there.
Visit the index. above the post regularly. The latest updates are always placed at the top of the index above.
How ever there signs of some commodities such as copper , platinum group metals , even iron ore having reached a low plateau now as mines tighten their belts taking steps not to over produce and also following tight business principles ,major producers are ready to ride the bad times as they aim to carry on at break even rates.
We feel that stock prices will not fall further in Rand terms as the USD strengthens our Rand weakens and we receive more income. This is because most of our commodities are rated in USD.
The real recovery in commodity prices is likely only to start taking place toward the middle of 2017 and be in full swing towards the end of 2018!
There is enough information on overseas markets available out there.
Visit the index. above the post regularly. The latest updates are always placed at the top of the index above.
Friday, December 11, 2015
THE YEAR ENDS
All updates and new lists hopefully be published by the end of February 2016, as we are now closing till that time for a much needed break !
Best wishes for all readers of these posts and hoping we shall all be successful in the new year !
At the moment our local market is plunging as minerals are not needed by the world in sufficient quantities and local politicians are adding to our woes by unfortunate views, moves and statements!
To counter this action we have closed our positions on most local shares and have invested in the NEWUSD
ETF and other overseas shares on our local bourse that are overseas based such as REI. Do watch out for too high PE's and keep alerts and some stop losses in place.
Best wishes for all readers of these posts and hoping we shall all be successful in the new year !
At the moment our local market is plunging as minerals are not needed by the world in sufficient quantities and local politicians are adding to our woes by unfortunate views, moves and statements!
To counter this action we have closed our positions on most local shares and have invested in the NEWUSD
ETF and other overseas shares on our local bourse that are overseas based such as REI. Do watch out for too high PE's and keep alerts and some stop losses in place.
Wednesday, December 2, 2015
CLIMATE CHANGE HYSTERIA
I fully realize it does not help to RAIL against the status quo!
How ever ,it is worth pointing that all and sundry are getting on the band wagon, to score at the expense of the poor tax payer ,including SNAKE OIL SALESMEN !
See small cap update above 2/12/2015
The poorest countries whom, by the way produce the least emissions, want quad-trillions to curb their emissions.
An easier way would be to use the Russian method ,which would be to place a boycott on some of their exports if they do not comply.
The major cause of the excess production of carbon-dioxcide is
of course over population farting and exhaling and not enough afforestation round the world ,especially in Chinese cities to mitigate these effects. Some extremists want to get rid of cattle and other forms of domestic and wild animals. Poor animals produce only one quarter of one of the major volcanoes emissions in a year!
Do read our previous post THE GREAT CARBON CREDIT SCAM on Friday 1 2015 below.
There is really no need to reduce human gas industrial activity to zero. All things in moderation is all that is needed.
The immediate aim is to reduce the temperature rise to less than 2%. REALLY ! WHY?
How ever ,it is worth pointing that all and sundry are getting on the band wagon, to score at the expense of the poor tax payer ,including SNAKE OIL SALESMEN !
See small cap update above 2/12/2015
The poorest countries whom, by the way produce the least emissions, want quad-trillions to curb their emissions.
An easier way would be to use the Russian method ,which would be to place a boycott on some of their exports if they do not comply.
The major cause of the excess production of carbon-dioxcide is
of course over population farting and exhaling and not enough afforestation round the world ,especially in Chinese cities to mitigate these effects. Some extremists want to get rid of cattle and other forms of domestic and wild animals. Poor animals produce only one quarter of one of the major volcanoes emissions in a year!
Do read our previous post THE GREAT CARBON CREDIT SCAM on Friday 1 2015 below.
There is really no need to reduce human gas industrial activity to zero. All things in moderation is all that is needed.
The immediate aim is to reduce the temperature rise to less than 2%. REALLY ! WHY?
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