Overvalue means currency is trading at a higher value than it should.. hence limiting export potential. The government wants the currency to trend lower to encourage export. More export means better economic growth and higher jobs uptake. However a weaker currency means higher inflation too.

Reducing interest rates makes the fixed deposit not attractive, hence people will tend to sell the currency and buy other currency for better gains.

When more people are selling compared to buying a currency will slowly drop. Currency is like other goods priced towards supply/demand.

plan to put money in Indo FD.

previously  rm1k= IDR3million

now rm1k = IDR3.5million.

A currency depends on export-import trade balance. A high export country, and a net exporter will push up the currency as demand for the goods outpace the exchange of other currency for importation. In this case Australia sells iron ores, gold, and other minerals and form the export basis and the value is much higher than imports. When commodity prices are at all time high, the AUD$ also reach all time high due to demand for AUD$ to purchase those commodities.

Now the commodity prices has slumped and trade balance is approaching negative. The AUD$ demand will be slowing down, as less amount of export compared to imports. To revitalize the trade balance the currency is deemed overvalue (above fair value), and needs to be reduced to boost/balance export. The AUD$ is dropping slowly is due to the high interest rate in a world where there is no more high interest rates. Demand for the high interest rates is what keeping the currency in somewhat high demand. The government wants the currency to become lower as the large amount of AUD$ in FD is not going to help the economy.

Lets say price of commodity A price unchanged at USD $1 per kg. When AUD$ was 1:1 with USD, Australia company will get 1 AUD$ for every kg sold. Now lets say the exchange rate is AUD$ 0.9:1 USD$, The same company will get 1.11 AUD$ per kg. Also with cheaper exchange rate, it will balance the price dropping in terms of USD$, and the company earning will still be same. A cheaper AUD$ will also reduce import as the inverse happens, it is costlier to import.

To reduce the value of the AUD$, the primary function is via interest rate control, lower the interest rate the currency will drop, raise it will rise. Bust it also depend on other macro economics such as trade balance, economic growth, sovereign bond ratings & foreign currency reserves.

Lowering of currency = boost export, reduce import and improve the economy but raise inflation. 

On average Indo FD is 7.5%-9% p.a. for 3-6 months deposit.

1 year deposit with high amount (1 billion rupiah) can earn up to 10-11%

High currency risk though... 

Lol.. how they score those company? Most of them are not 100% pure plantation companies..

Based on stock price? ROE? EPS?

I still favor TSH & FR for plantation.. and long term growth. 

it's 52% to the 90-day trading average price of the company..

reason is that Shell would gain access to BG's multi-billion dollar projects in Brazil, East Africa, Australia, Kazakhstan and Egypt, including some of the world's most ambitious liquefied natural gas (LNG) projects 

52% on top the average trading market price 

BG shares is listed on London Stock Exchange..

Shell would pay 383 pence in cash and 0.4454 of Shell's B shares for each BG share 

Difference between A and B Shell shares

Hi guys,

Do you know any brokers that provide services to buy into the Oslo Stock exchange?

Really interested in a few companies there that have amazing ROE/PE/Yield.

Thanks!

Falling chainsaw ? I think its a falling grenade ! Knife or chainsaw only your hand is gone. This time a whole body could blow up

*****  Adding M'sian flavour - don't forget C4!

Just that we don't know what will this event be called in history book. 2015 Oil + China crisis ? 2015 world stock market crash ?

*****  + DONATION

Hope everybody can ride through this crash unscathed and live to tell the story to your children and grand children years later

Hi guys and sifus

Is it a right time to start stock trading now ? Remiser from which broker recommended ?

I might start with Penny stock (is it true what people call it ? ) because my capital is very low, just small player

May I know why ? Because company might close anytime at current economy situation ?