Australian Dollar - Possible Bad News

[Jollygoodfellow]

Well you were right Brett, the AU dived today but makes me wonder about these big financial guys who predict and bet on these things if they have insider info.  :89:

[Adventurer]

Well you were right Brett, the AU dived today but makes me wonder about these big financial guys who predict and bet on these things if they have insider info.  :89:

wow it did too, 1/1 right now..

[BrettGC]

Like I said, good source - it's not he 15% predicted but I think that's where they want it - .85-90/USD

Edited May 11, 2013 by BrettGC

[OnMyWay]

The USD was up a lot against everyone of Thu / Fri, which is good timing for me as I need to exchange this week.  Back over 41 pesos again.   :)

[OnMyWay]

If you're planning to live in a different country then it is advisable to have your savings in the currency that you will be spending...... you are then protected from currency fluctuations. How many times on here do we read of people waiting till the exchange rate "goes up again". Crazy! I'm off to Colombia and my money will be invested in blue chip companies in their stock market. I won't have to worry about what the pound/dollar/euro are doing, all I want is to know that I will have local money for a rainy day. My pensions unfortunately will be paid in Euros and pounds and I will have to accept any changes in the exchange rate.

 

I would be careful about this, for several reasons.  

 

Columbia has come a long way but I certainly would not keep my entire next egg in their stock market, or in their banks.  Or in most countries, for that matter.  Most of us like to keep our nest egg in the "safety" of our home country, and transfer as needed.  You are putting yourself at risk by having a lot of money in a Philippines bank.  This has been discussed in other threads.

 

The impact of inflation in some countries comes into play as well.  You may be able to make a higher rate of return, but if inflation is high, your real return may be far less than expected.

 

You also may need to consider the tax consequences of your gains, in your home country and host country.  Depends on the countries and how much you earn.

 

Either way, small transfers or one big one, the exchange rate comes into play.  If the amount of money gained or lost on exchanges does not matter to you, then no need to worry.  When a currency is fluctuating a lot, it pays to track the exchange rates.

 

I have read about retirement in Columbia and there are some really nice, clean and affordable places.  I also have several Colombian friends from my old job and they say great progress has been made and it is very safe in most places now.  I hope you will keep us updated!

[oinkoink]

The USD was up a lot against everyone of Thu / Fri, which is good timing for me as I need to exchange this week.  Back over 41 pesos again.   :)

Not bad for a country up a lot against everyone, and known to be twenty trillion in debt right ,  not bad at all .,.

[OnMyWay]

:bash:  :bash:  :bash:  :bash:  :bash:  :bash:  :bash:  :bash:  :bash:  :bash:  :bash:

 

Should have made that bet against the AUD!  A few options contracts and a ton of money could have been made!

 

http://www.cnbc.com/id/100794113?__source=yahoo%7Cfinance%7Cheadline%7Cheadline%7Cstory&par=yahoo&doc=100794113%7CAussie%20Dollar%20Slide%20Is%20Tu

Edited June 6, 2013 by OnMyWay

[BrettGC]

I thought about it but was unsure if insider trading applies to currency speculation.

 

Just as an aside, when I was on an RGS (responsible gambling services) course a few years back, one of the officially listed forms of gambling, at least here in QLD, is the stock market and associated investments. 

[OnMyWay]

Yeah, you have to be careful about these things.  US SEC just froze the assets of a Thai guy who made millions on the recent announcement that a Chinese company was buying the US company Springfield.  Apparently he got a tip from an insider.

[JJReyes]

Currency trading is pure speculative. Soros and his associates will lure in the smaller players with unusually large trades causing wild gyrations and then dump the currency. If played too long, Central Banks intervene.

 

The same thing is happening with the global stockmarkets. Traders use super computers with direct link to Wall Street and other trading floors. To save on micro nanoseconds, the buildings housing the computers are just a couple of blocks away. The software can detect minor changes triggering buy or sell orders. This is what's causing wild swings in stocks, which includes occasional illogical plunges and spikes. Regulators haven't found a solution except to stop trading for a few minutes. This allows humans to intervene or override their computers.

 

If you are the gambling type, there is a way to play the game. Place automatic buy or sell orders at a predetermined level. For example, plus or minus 15%. You might benefit from any sudden up or down swings.