Was a massive hit for Phil Collins way back in 1993.
There ARE two sides to a STORY. But only one side is TRUE.
With the Ringgit at RM4.41 to the US Dollar, there ARE allegations or at least an attempt to paint a picture that what is happening to the Ringgit is PURELY due to PM Najib, 1MDB and maybe even an angry tooth fairy.
One side, we have OUT SYED THE BOX, one of my FAVOURITE blog , which has this to SAY:
Ringgit Roller Coaster Now At RM4.37 !!
There is something strange going on. Someone is possibly making a billion Dollars profit out of today's Ringgit roller coaster.
Went to RM4.51 and then down again to RM4.37.Bank Negara better keep an eye open.
This is a serious attack against our economy.
Update : Talk is there is a massive sell off of Malaysian gomen bonds by foeigners. These would be Ringgit bonds where the proceeds of the sell off were converted to other currencies most likely USD.
ON the OTHER SYED, we have, The Australian, a foreign paper INDEPENDENT of ANY influence from the Malaysian Government.
READ:
Investors dumped stocks, currencies and bonds in emerging Asia on Friday, as Donald Trump’s victory in the US presidential election continued to up-end global markets.
A sell-off that began in Asia rolled into emerging markets in Europe, Africa and then Latin America as the day progressed.
Stocks ended the day 4 per cent down in Indonesia and closed 2.9 per cent lower in the Philippines, while the FTSE JSE all-share index of South African stocks dipped by 1.9 per cent in early afternoon trading.
Emerging-market currencies took a beating across the board, with even the Russian rouble, down around 0.3 per cent, falling, after holding up in the election’s immediate aftermath.
Global investors were also dumping emerging market sovereign debt, with the dollar-denominated J.P. Morgan emerging markets bond Exchange-traded fund experiencing its sharpest outflow on record on Thursday, with $US300 million exiting the fund.
Mr Trump’s election has sparked a rally in US stocks and sent longer-dated Treasurys sharply higher, as investors weigh his likely policy mix of increased fiscal spending on infrastructure projects and greater trade protectionism. Many expect his agenda to spark higher inflation, leading both to the US Federal Reserve raising interest rates more rapidly than previously expected, and a stronger US dollar.
That in turn could lead to a shift in the dynamics that lured billions of dollars into emerging markets earlier this year. For months, low and negative rates in the developed world sent investors to far-flung parts of the globe in the hunt for better returns. Now, with yields on US Treasurys sharply higher, investors could choose to stay closer to home.
“Higher rates in the US will naturally raise the bar for capital flows to emerging markets,” said Mirza Baig, head of foreign exchange and interest-rate strategy at BNP Paribas in Singapore. That means investors could sell local-currency debt, pushing yields even higher.
After Mr Trump’s victory in Tuesday’s election became clear, yields on benchmark 10-year US Treasurys surged above 2 per cent for the first time since the beginning of the year. On Wednesday, they notched their biggest one-day jump in three years. On Friday US bond markets were closed for Veterans Day.
Investors are now focusing on the Federal Reserve. Higher inflation could mean the Fed will raise rates more aggressively. A belief that it would move slowly buoyed sentiment for emerging-market investors earlier this year.
“The previous shallow hiking cycle is probably not going to happen,” said Mark Baker, an emerging-market portfolio manager at Standard Life Investments in Hong Kong. “I think there’s a narrative around tighter global liquidity conditions that could become more important once again.”
In that kind of environment, emerging-market investors could rethink investments in countries that are reliant on foreign capital, like Turkey and South Africa, Mr Baker said.
The South African rand fell by more than 1 per cent against the greenback on Friday and the yield on the country’s sovereign bond maturing in 2026 rose to 9 per cent, its highest since early September.
Yields on emerging-market bonds rose around the world, with South Korea’s benchmark 10-year government bond last at 1.94 per cent compared with 1.821 per cent on Thursday. The yield on a similar bond in Thailand was last at 2.38 per cent compared with 2.3 per cent a day earlier. Bond yields rise as prices fall.
Latin America has been particularly hard hit, given the regions close trading and immigration links with the US
