David Gracey

David Gracey

Head of Foreign Exchange and Fixed Income Trading

Currency Comment lacks inspiration

·        Like Dan Brown without the Vatican, I’m battling to come up with anything inspirational to comment on.

·        The Markets are all so one dimensional – all doing well as global economies make up lost ground.

·        There are no notable currency market panics – except Turkey, and we are so used to Erdogan causing chaos that no one really cares. I will say that this little experience is a very good warning to South Africa as to what can happen when you mess with the business of an independent Central Bank.

·        Donald has gone quiet – although he did pitch up uninvited at a wedding at his Mara Lago Resort to make an impromptu speech. That must have been fabulous for the bride and groom. Having done all they could to avoid having creepy Uncle Wally say something at the nuptial celebrations, Donald pitches and demands a go at the microphone.

·        No one cares about any of the flashing orange lights like debt burdens, and geopolitical tensions.

·        It’s all as if Uncle Joe (Biden) has come in and suddenly the world has become a giant retirement home. All the residents are asleep, and those that are awake are in the garden playing bridge with the delightful Sophia. Forget that there is a potential E.coli outbreak in the kitchen, and that old Mr. Simons in room 44 is enraged because the other residents decided not to invite him to watch reruns of the Golden Girls.

·        And so I’m bored and uninspired. I’m not even surprised that recently the Rand is one of the best performing currencies. Given the amount of export flow going through the market it’s hardly surprising.

·        At some point however, Mr Simons is going to exit his room with a giant carving knife looking to extract some revenge. Perhaps then I’ll be inspired again.

·        Or perhaps when Liverpool win anything decent again. And that may take another 30 years.

·        Good luck.