see how quickly things change in just 2 months?!

today:
1. Put S$1000 in FD renew on maturity from 1997-2015 = S$1208.84
2. Put RM1790 in FD renew on maturity from 1997-2015 = RM3652.44
3. S$1208.84 x 2.90 (aug 2015) = RM3505.64

interest rate parity will fulfill its "prophecy" when rate gets to 3.02.

anyone care to do for the usd?

one quick and dirty speculative approach: 3.02/2.90 x 4.08 = 4.25.

Showtime747,

Then, please answer my question.  If BNM print unlimited RM, FOREIGNER no longer buys Malaysia Government's bond, how is THE GOVERNMENT going to finance the budget deficit??

Please note that 2 millions to 2.5 millions of THE MAJORITY are on THE GOVERNMENT's pay roll.  THE GOVERNMENT has to increase their pay / income to beat inflation in order to stay in power.

Dreamer

P.S.:  "Don't worry, be happy!!".  There will be enough DUMMIES out there to buy ASx to supply the money.

If he already keluared, why still making fuss here? Not giving the exact situation but keep put negativity here?

Look, I am not from finance or whatever. But I still have my logic in my brain, yes, the current situation is very bad but not that bad until the nation going to collapse...

The whole thing happen is due to LACK OF CONFIDENCE. Once the thing resolve, I believe KLCI shoot up to 1900 isn't a big problem just a matter of time.

He keep saying thing is going be like Greece and still got people feeding the bait and asking withdrawal limits. If he want to spread the rumour, why don't just make it very clear and asking people start to pile up cash under the pillow rite?

Another thing I don't understand why hekeep saying people who invest in ASNB is dumb. I mean, yes, if gov take money from the ASNB, don't you think they will did the same to MBB TNB PETRONAS RHB MBSH TH KWAP????!!!!! All the blue chip will be suffered. If yes, then how?

The world is working upon threshold, if anything gonna happen, threshold triggered, things will start to cleared off.

He keep saying people should invest in foreign market or whatever foreign currency acc. But this about it, if a household income of 8k got children etc etc, how to invest, even UT is problem for them. What to do just keep in local bank. Then he say local bank will collapse.... if like that go back to system barter better!

I'll be defensive if I have right what that was wrong earlier, especially if it comes from someone who did not read earlier posts and start throwing in unjustified accusations, also known as misconstrued judgement - FROM YOU. Sure, I agree it's a rumour, and I'm glad the rumour is busted,.. fine,... but again, read earlier posts, I was the onewho agreed to it that's it's a rumour. I'll leave my rantings here to focus on more concrete debates.

I appreciated yours and Cherroy's feedback. So,...again to you, looks like I am under-knowledged on international finance. Well, I'm glad I have enuough investments and instrumnts that are still doing well in these economic times. Hmm,...  like you said 'I have very little knowledge on economics'....if someone who has very little knowledge on economics can still perform at this level, then,.. well,...  

Interesting,... I HAVE BEEN LUCKY ALL THIS WHILE,.. right, we'll see then. IF my portfolio can stand,... then the whole world should learn from me. If my portfolio dies moving forward,... then that's all to it,... should have bought Unker's Vanguard Funds then. MOment of Truth,...it's okay,... 

I diversified my investmnts inside and outside of Msia. Inside..., into yield props (like many here) and ASX Funds (Ramjade). Outside - into stocks and funds, as advised by Dreamer,... but have not really bought into the Vanguard FUnds yet. So,... this is DIVERSIFICATION - inside AND outside of Msia. Let's see if can stand !

Shall we put a stop on who believe or not on the unfounded rumour.
The rumour is busted, no point to discuss further.
Ty.

Folks,
I'm a little confused about the purpose of this thread.

Won't it be more productive if we discussed what can actually be done by the average Malaysian to get through this troubled period ? I know we have quite a number of knowledgable and experienced forumers here.

Anyway, here's an opinion to consider on the USD movement :
http://www.bloomberg.com/news/articles/201...real-on-liftoff

Except those could earn foreign income, average Joe could only braced for inflation and subsequent drop in disposable income.

i had always like sam chee kong's (economic adviser to NUBE) write ups - sound arguments backed up with lots of data.

his latest one is about the rm.

if interested, read it. u might get some answers u are looking for.

ok, it's just one man's view in a blog, ya?!

http://samcheekong.blogspot.com/

no la. this guy is a reputable economist, a responsible one.

read his stuff, you'll see see what i mean...

Unless one expect myr to drop below 4.50 to US$, converting assets to US$ at this moment may be too late.

Incorrect.

When your currency become "cheap", more MNCs like to use your country as manufacturing hub, labour wages become cheaper in term of USD, they can profit more by setting up factory here. Hence you will have more export increase.

While, when your currency depreciated, import goods become more expensive which hinder consumer to consume more import goods, which resulted a big shrink in import.

Currency rate drop, more export, shrink in import, you will have more trade surplus.

1998 Asian financial crisis already shown how trade deficit previously being turned into trade surplus after the currency rate dropped down significantly.

There is no incentive to manipulate trade balance figure, nobody can benefit nor lose from it. 

Fyi, Malaysia was in continously trade deficit situation prior 1997, but RM was at Rm2.5 vs 1 USD at that time.
Only turn into surplus after 1998 when currency was pegged at RM3.80.

Be prepared for even lower Ringgit devaluation in September on the possibility of US interest rate hike news. The only way to preserve the value of Ringgit is for BNM to hike interest rates. BNM has less than 100 billion USD left in foreign reserves. No way they wanna spend all their bullets.

Refer to http://www.theedgemarkets.com/en/article/b...k-us967-billion

My economist friend in Khazanah already confirms that property prices are going downwards the next few years. The incoming recession this round might be worst than 1997 as it will probably last almost a decade.

With the increasing possibility of lower employment rates and business sentiment, many people are cutting down on unnecessary expenditure and companies are lowering their forecast. Commodity prices are trending downwards and will likely stay low for the moment whereas our country's debt remain high. 1MDB alone generates 5 million in interest rates a day. Not sure if our country can continue to service the federal debt in the long term if business is bad. Foreign outflow just contributes more to the "morale" and worsening business sentiment. Hopefully Bank Negara will do something soon.

Good luck have fun guys.

If currency drop because of multiple qe to stimulate the economy and drive up business n growth, thats ok.

If the currency drop because foreign fund exit and dumping equity.. tats bad

Would it be too low target set at 1200? I foresee this is hardly to be happen. Just grab what you think is worth buying instead of just kept waiting there.

Wow..

U berry bearish leh..

Kikiki..

So now u prepare to take out your shorts and put it lelong at klse liao?

today KLCI already up mah... 

why u let ur wives keep it?

go take it back

Ok.. firstly, let me open a fkli acc for u first