WARNING: This is Version 1 of my old archive, so Photos will NOT work and many links will NOT work. But you can find articles by searching on the Titles. There is a lot of information in this archive. Use the SEARCH BAR at the top right. Prior to December 2012; I was a pro-Christian type of Conservative. I was unaware of the mass of Jewish lies in history, especially the lies regarding WW2 and Hitler. So in here you will find pro-Jewish and pro-Israel material. I was definitely WRONG about the Boeremag and Janusz Walus. They were for real.
Original Post Date: 2001-12-07 Time: 23:55:01 Posted By: Jan
In preparation for my trip to New York in January, for an appearance on
the Sci Fi Channel regarding a book I wrote some years ago, I was
purchasing some US Dollars.
Considering that the Rand has collapsed approximately 30% against the US
Dollar in the past year, and this week alone it was down 10%, I decided
to get some forex advice.
So I phoned a stock broker I’d dealt with many times over the years. I
asked them to put me through to one of their forex specialists. I asked
the guy what he thought would happen. He said that nobody really knew.
The Rand could fall more, to as low as R12 or R13 to the US Dollar, or it
could rise back to the R9 level. He tended to favour the view that the
market was oversold and that it would regain ground.
Then, out of curiosity I asked him why the Rand was falling so much. I
did it as an after thought because I figured that the Zimbabwe situation,
our latest flooding problems, etc were the general reason behind the
fall.
He told me that the main thing killing the forex market was that the
Reserve Bank had introduced some “anti-speculation” measures. These new
rules were intended to stop the banks from trading foreign exchange for
the purpose of making a profit. These new rules had caused the banks to
stop trading in foreign currency except when they really need to, and
hence, since there was so little trade going on the market was very
“thin”. (Thin meaning there are few people trading). This, he said was
the real reason the Rand is struggling so much.
Later I sat back and thought about this. The ANC, and communists in
general are always whining about “speculation” in the stock markets, and
here the Reserve Bank has gone on a crusade against “speculation” in
forex markets. The communist/socialist rationale is that “speculation”
causes instability in markets.
The truth is of course, that it is NOT speculation which causes market
crashes. Markets crash because of bigger cycles (and very possibly
because of excessive borrowing). It is not the speculation itself which
causes markets to rise or fall. Speculation is just a tool. In fact,
speculation lies at the very core of the FREE MARKET. Speculation lies at
the core of markets responding to changes. Markets adjust themselves
because people buy and sell. Speculation should be seen as the “oil”
which helps to run the FREE MARKET mechanism.
So if you look more closely at this, then the REAL REASON the Rand is
struggling so much this week has nothing to do with external factors. It
is caused by the SOCIALIST STYLE meddling – but nobody is talking about
it.