No Market Pounding Despite Dire Projections from Merchants of Doom

Stock markets and GBP are back to pre-Brexit levels!

Where are all the Market Manipulators?

Two days of post-Brexit kneejerk market hammering have not brought investors down on their knees. The last three days have seen such a strong bounce that the global markets are now back to (or higher than) pre-Brexit levels.

In fact, the British Pound hardly took any pounding, contrary to reports about the currency having sunk so badly that it was at its lowest in 30 years.

Brexit2All official rates have no bearing on the general forex market. In Singapore, for instance, GBP has been only marginally down since last week’s referendum fiasco – that is, if you look at the rates offered by authorised money changers.

Today’s official rate at the time of writing this is around S$1.78 for GBP1. However, if you are looking at buying through money changers, the rate at which they sell ranges from S$.1.86 to S$1.88. Their buying rate was around S$1.82 to S$1.84.

Prior to Brexit, we could buy 1 GBP for about S$1.92.

In effect, there has been no major impact on either the stock markets or the currency market.

Just Scaremongering: Where are those doomsayers who have been predicting a global meltdown with such scaremongering as “the end is coming”?

One does not need any clairvoyance to think that their alarmist proclamations will be treated with contempt by the markets.

Analysts are just market manipulators – merchants of doom who profit from their foul projections and from the misery of retail investors. Analysts are those the world can be without.

In one of my posts, I had even equated analysts with journalists. They are simply birds of the same feather flocking together. For them, bad news is good news. So they keep harping on the theme of a slumping economy, predicting dire days ahead even amid all the signs of recovery we see.

Investors will be better off ignoring these frauds who live off businesses and their crafty manipulations.

G Joslin Vethakumar

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Filed under Brexit, General, Market Analysts

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