The ZAR Exchange Rate Thread

[reactor_sa]

Global currency reset time. The great equalizer is here.

**** it would awesome if we could pick a different currency

 

[MirageF1]

For once the Rand is/has been standing firmish against the £ at only 20 for last 2 days.

 

[LazyLion]

 

[BBSA]

 

[MirageF1]

here's me smiling at you Queenie... for once

/signed off from darkest Africa

 

[FlashSA]

$1 = R17.49

When will the pain stop?!

 

[NarrowBandFtw]

$1 = R17.49

When will the pain stop?!

When S&P500 falls through 1300 points and after a couple of major stimulus packages in the US people wake up to the fact that the dollar is not a safe haven, that it is in fact all just printed out of thin air.

Huge amounts of money currently piling into USD as a safe haven, when the wool is pulled from their eyes the huge amounts of money will head somewhere else.

 

[Segg]

The decline over the past 5 days is staggering

 

[krycor]

When S&P500 falls through 1300 points and after a couple of major stimulus packages in the US people wake up to the fact that the dollar is not a safe haven, that it is in fact all just printed out of thin air.

Huge amounts of money currently piling into USD as a safe haven, when the wool is pulled from their eyes the huge amounts of money will head somewhere else.

When the ratings agency downgrade due to risk as their income becomes very low and their borrowing exceeds.

A China sell off US bonds could be interesting and you just know countries need to fund their own bailouts.

 

[deweyzeph]

For once the Rand is/has been standing firmish against the £ at only 20 for last 2 days.

Only because the pound is also crashing against the dollar.

 

[Lupus]

Only because the pound is also crashing against the dollar.

Everything besides the Euro and Dollar. AUD, NZD, Rupee, Peso, Rand you name it, it's crashing. The dollar is being propped up for now though.

 

[NarrowBandFtw]

The dollar is being propped up for now though.

case in point:

Lehman Playbook Continues: Fed Unveils Another Bailout Fund To Avoid Money Market Funds 'Breaking The Buck' | ZeroHedge

ZeroHedge - On a long enough timeline, the survival rate for everyone drops to zero

www.zerohedge.com

 

[rietrot]

When S&P500 falls through 1300 points and after a couple of major stimulus packages in the US people wake up to the fact that the dollar is not a safe haven, that it is in fact all just printed out of thin air.

Huge amounts of money currently piling into USD as a safe haven, when the wool is pulled from their eyes the huge amounts of money will head somewhere else.

I agree in principle, but then where is that alternative place? There isn't any. That's why the US is still a safe haven and will remain so.

 

[krycor]

I agree in principle, but then where is that alternative place? There isn't any. That's why the US is still a safe haven and will remain so.

I suspect the fun and games start when their military expenditure becomes problematic as then they lack power.. keep in mind they doing this fast as their debt expands and income reduces

 

[rietrot]

I suspect the fun and games start when their military expenditure becomes problematic as then they lack power.. keep in mind they doing this fast as their debt expands and income reduces

It's purely a function of supply and demand. Even at the rate they are printing there is still a large demand for dollars. For people to move out of the dollar they need an alternative asset class to move into...

That can be back to other countries and investments once the crisis is over, but in the time of crisis there's no alternative. The US is the safe haven.

 

[Drifter]

ZAr is actually stronger vs AUD than a week ago. 1 AUD = R9.93, was over ten.

 

[NarrowBandFtw]

I agree in principle, but then where is that alternative place? There isn't any. That's why the US is still a safe haven and will remain so.

Precious metals is the traditional alternative place, proven through many crashes over the centuries
Crypto is potentially another alternative, not yet proven through a real crash

 

[MirageF1]

Only because the pound is also crashing against the dollar.

Either way my R / £ are safer than R/$'s

 

[JayM]

Either way my R / £ are safer than R/$'s

How so?

 

[MirageF1]

How so?

Simple conversion. Math.