Anyone hoping for a clear trend to ride in these markets is bound to
be disappointed. Although us bears are convinced that our view will prevail, we
are having some edgy moments. Increasingly determined voices are assuring
everyone that the USA
is on the road to recovery, but there are still some sceptics. The JSE is has
bounced back to the extent that the market is tantalisingly midway between its
most recent highs and lows. The rand is finding it hard to hold onto gains.
Undoubtedly a lot is dependent on when Madiba dies.
In common with many other tin pot regimes our own believes that
withholding information about the health of leaders both past and present
represents wisdom and a sensible exercise of power. Of course it does neither
and rumours breed and grow. Noticeably no doctor has been trusted to tell an
eager and concerned public the facts about the state of our aged and respected
icon Nelson Mandela. If the poor man is indeed now being kept alive by
machines, the big question is who will make the fateful decision. Any
politicians involved can be relied upon to arrange matters to ensure the
greatest benefit, exposure and kudos for themselves. Taken together with the
family feud that has boiled over into the public eye this is a very unpleasant
chapter in the nation’s history. Dignity and compassion are sorely absent.
The most baffling story of the week concerns the news that it is
recommended that the nation should build another coal terminal in order to
handle the export of black coal. But isn’t all coal black? And isn’t there
spare capacity at the existing Richard’s Bay facility? Odd.
Thousands of taxpayers logged into the tax website within seconds of
the tax return season opening. So many taxpayers were eager to reveal their
innermost financial dealings situation
the SARS system displayed signs of indigestion. This selfless haste was
puzzling until it dawned on me that of course those folk who are expecting a
refund of overpaid tax are eager to claim it back as soon as possible Did the
tax man anticipate this aspect of his electronic filing system? It will be interesting to see if the refund
flow shows up in the exchequer figure for July when they are published. The May revenue and expenditure numbers for
the government just released, confirmed an inexorable trend of growing state
spending but no similar improvement in the rate of revenue collection. National
Treasury’s vigorous rebuttal of accusations that the distribution of Social
Grants (i.e. cash hand-outs to the needy) was threatening to get out of control
was fair enough but there is little room for complacency. Most of us are
worried about the disparity in the numbers of tax payers versus tax eaters.
The JSE may well be congratulating itself on the success of its
campaign to reduce the flow of captive advertising to the newspapers. Very few
companies now publish those huge spreads of financial schedules and commentary
in the dead tree media. Undoubtedly this has left the small and vulnerable
shareholder much worse off that before the JSE lifted the requirement for those
notices. SENS and websites just don’t work anywhere near as well in providing a
source that can be perused at leisure with pen in hand. A great pity and a
definite backward step in transparency.
Wow! A South African in the Yellow Jersey at the Tour de France!
Bicycle dealership around the country will be rubbing their hand in glee as the
rest of us now rush out to buy a bike and join the bruised buttocks brigade. I
forecast an oversupply of used bikes for sale in a few months time. In the
meantime, all the very best to you, Daryl Impey. And then of course at
Greyville here in the kingdom tomorrow, the nation’s finest dresser uppers will
attempt to scare some horses. And of
course there’s tennis, rugby and Formula 1. Another tough weekend for the
couch.
James Greener
5th July 2013
