This bull market is really still solid
and broad based even if it is moving the historic pe ratio on the financial and
industrial index up to the knee trembling level of 20. The heavy hitters most
responsible for lifting the market to yet new highs this week do tend to be
those with assumed rand hedge properties (SAB, Naspers, BAT, Sasol and Aspen)
which makes sense as the currency was again under pressure while the
self-important ratings agencies huffed and puffed about the country’s ability
to repay its loans.
Even if the platinum miners’ strike is
coming to an end there are going to be no winners. The foregone revenue and
wages will almost never be made up and everyone will go forward with suspicion,
resentment and debts. The country is plagued with cynical unfeeling
opportunistic leaders who make utterly impossible promises to followers who are
totally under equipped to spot that they are bogus. As pointed out by many
observers, this is perhaps the country’s biggest tragedy and shortcoming. The
sole remedy is a more informed and educated populace but the suspicion that the
leaders also strive to prevent that from happening is commonplace
Government is thinking about introducing
a tax on mining super-profits. An ominously named Strategic Intervention in the
Mining Sector discussion paper has confidently defined a super profit to be a “return
on investment” greater than a “normal” level of about 15%. In the opinion of
the socialists who clearly authored this paper, any money earned above this rate
belongs to the people of the land and not the company or its workers. This idea
is deeply objectionable on so many levels and it is impossible to be sure whose
investment is being targeted. Even if is doubtful that many folk have enjoyed a
double figure return from the mining industry in recent years, it is certain
that blizzards of bookkeeping will be employed to minimise this impost. Those people
of the land looking forward to a windfall handout may be rather disappointed.
Hlaudi Motsoeneng
is obviously finding his new position as head of
the national broadcaster very onerous and time consuming. It leaves him with
little opportunity to find a wife. But the proud and grateful leaders of his
tribe in Limpopo have rallied round and
offered him a selection of 10 young women from the province. Hopefully he will
find one to make him happy, unlike that pesky lady Public Protector Thuli Madonsela who is complaining that his appointment and
remuneration is rather dodgy.
Already this
winter has produced some minimum temperatures which amaze even our emigrants in
Canada.
Predictably Eskom is finding itself unable to meet demand and load-shedding is
back in force. Here in our region of the kingdom, we are also faced with a
possible water shortage due to theft and vandalism (being escalated to sabotage
by the infuriated officials) of a critical part of pipeline. Those of us who
prefer cold beer and wine over hot tea and coffee are unaffected.
The first Brazilian
player who managed to score a goal in the correct net during the opening World
Cup match, was moments before involved in a physical contact incident that which in rugby would have earned him an
instant red card. Perhaps the reason why we oval ball fans find soccer so
baffling is the refusal of the incredibly wealthy and arrogant suits who control
the wonderful game to use proven technology to identify infringements.
Presumably someone is benefiting from letting human “fallibility” influence
outcomes. Tomorrow the obviously exhausted ‘bokke will hopefully avoid injury
in the match with Wales
before the critical tests against the Wallabies and All Blacks. In order to
assure a steady flow of TV money organisers agree to a packed calendar and discard
wounded veterans in favour of young players eager to earn a national cap. This
sport too has become a production line.
James Greener
Friday the 13th.
