small h Posted September 22, 2011 Share I'm smiling about the R/$ have a couple of traveler's cheques at home we've been wanting to cash in for a while now, but didn't want to cash in at a loss Link to comment Share on other sites More sharing options...
tunariaan Posted September 22, 2011 Share Also working abroad, hopefully the dollar will go even stronger, remember a few years back when i used to get R13 for a dollar Link to comment Share on other sites More sharing options...
AndreZA Posted September 22, 2011 Share Also working abroad, hopefully the dollar will go even stronger, remember a few years back when i used to get R13 for a dollar And Sasol got fined for stirring the market that caused that. Link to comment Share on other sites More sharing options...
CAAD4 Posted September 22, 2011 Share I'm smiling about the R/$ have a couple of traveler's cheques at home we've been wanting to cash in for a while now, but didn't want to cash in at a loss Traveller's cheques? Best you rig up the old ox wagon and mosey on in to your local village then, before they expire...... Wile you're on your way, don't be alarmed to see that the flag has changed and that the ANC are now in power... Yep it's called progress... Link to comment Share on other sites More sharing options...
small h Posted September 22, 2011 Share Traveller's cheques? Best you rig up the old ox wagon and mosey on in to your local village then, before they expire...... Wile you're on your way, don't be alarmed to see that the flag has changed and that the ANC are now in power... Yep it's called progress... LOL! thankfully they never expire! that's why we took them - because trying to buy from a market stall or finding an ATM in India is a challenge........ and too much cash a tad dangerous. There's a place and a time for all things Link to comment Share on other sites More sharing options...
Minion Posted September 22, 2011 Share What next?????????????Maybe it'll do what it did end of 2008. Link to comment Share on other sites More sharing options...
fandacious Posted September 22, 2011 Share LOL! thankfully they never expire! that's why we took them - because trying to buy from a market stall or finding an ATM in India is a challenge........ and too much cash a tad dangerous. There's a place and a time for all things true they dont expire... but banks are now charging a ridiculous fee for cashing them Link to comment Share on other sites More sharing options...
small h Posted September 22, 2011 Share true they dont expire... but banks are now charging a ridiculous fee for cashing them Amex is a tad better than the banks with their rates - so thankfully I'll at least get back what I paid for them coz the husband is checking out the classifieds over here already.......! Link to comment Share on other sites More sharing options...
Tiny K Posted September 22, 2011 Share Amex is a tad better than the banks with their rates - so thankfully I'll at least get back what I paid for them coz the husband is checking out the classifieds over here already.......! Hmmmm.....somehow I think you are spying on him.... bloody agents! Link to comment Share on other sites More sharing options...
small h Posted September 22, 2011 Share Hmmmm.....somehow I think you are spying on him.... bloody agents! Link to comment Share on other sites More sharing options...
GrumpyOldGuy Posted September 22, 2011 Share Hey Grumps You sell whatever you bought for a 20% markup or whatever. The increased price of the new stock have nothing to do with pricing of the existing stock. If the new stock is more expensive, the shop should get a larger overdraft. The mark-up is supposed to stay the same. I am however sure you will find people marking up the old stock as well to double profits. BIGGER OVERDRAFT.....Hmmm, methinks You will be out of business. Importers run the gambit of a fluctuating currency and they pay UP FRONT for most of their imports, so they already have a cost factor on their money tied up in stock. You simply cannot import products and land it today at say R10.00, sell it for R15.00 (50% mark up, pretty average) then replace it for R12.00 input cost only to the supplier, now factor in an increase of freight of say R1.00 as they are also increasing prices, factor in an increase in duty, (last time you paid 30% duty on R10.00 now its on R12.00 and your replacement cost is R14.00, effectively wiping out almost all your profit, the stock sits in your warehouse for three months, (not unusual for importers) you cannot survive, Importers have to increase presently held stock, or they will go out of business. Link to comment Share on other sites More sharing options...
Shebeen Posted September 22, 2011 Share Safest, buy gold. gold price today R14.3k/ouncegold price six months ago R9.8k/ounce hindsight, wonderful Link to comment Share on other sites More sharing options...
GrumpyOldGuy Posted September 22, 2011 Share Who knows??? I know the Banks have a forex protector kind of facility so in other words you can order the import but only pay in three months time and this "insurance" will protect you against currency fluctuations so you pay what the rate is today after three months. You could also consider getting an official quote from the overseas guys as in certain cases the quote is valid fro a certain maount of time (if you can get them to quote you in Rands of course!!) and then hold them too it in three months time. Sort of. Its called "forward cover" but its expensive. The bank do's not quote at today's rate, they have a system whereby they quote ahead, so for eg, the rate today is 8.00 but they will have a forward cover rate quite substantially higher at say R8.50 or more. The problem with this is (a)The financial value is frozen in your account by the bank, so you cannot access that cash, until due date of the transaction, this could put you in a cash flow problem.(b)Trade finance where they defer payment for up to 180 days incurs interest charges by the bank as well, which the importer is liable for.© You are tied into that transaction, so if the rand go's the other way and appreciates, you will still be paying at the higher rate. Selling the deal back to the bank to get out of it will be far to expensive as you will take a knock on the appreciating currency. So yeah, forward cover is fine for big purchases as you know exactly what your cost will be ahead of time, but not everyone can afford to incur this extra cost added to their product. No international supplier I know of will quote in Rands, the currency is usually in the country of origin or US Dollars, no supplier will take the knock of a depreciating foreign currency. Edited September 22, 2011 by GrumpyOldGuy Link to comment Share on other sites More sharing options...
Funkman Posted September 22, 2011 Share Need some help from you finacial wizards.I ordered a few US$ for an overseas trip, from a bank last week. Every day after they called me to collect, the rand has been free falling. NOw should I wait till it recovers slightly, or take it now while the going is good. Trip is in 2 weeks. Link to comment Share on other sites More sharing options...
GrumpyOldGuy Posted September 22, 2011 Share gold price today R14.3k/ouncegold price six months ago R9.8k/ounce hindsight, wonderful Indeed, but Gold is a very,very, long term investment, in the short term unless you are investing millions in gold its a small profit. So, Yeah, if you are 20 years old and dont need the cash, buy gold coins and leave them in your cupboard until you are 60 and you will have a handsome profit, buying gold for short term is not going to make you money. Its much the same with any major blue chip share though, long, long, long term. Link to comment Share on other sites More sharing options...
GrumpyOldGuy Posted September 22, 2011 Share Need some help from you finacial wizards.I ordered a few US$ for an overseas trip, from a bank last week. Every day after they called me to collect, the rand has been free falling. NOw should I wait till it recovers slightly, or take it now while the going is good. Trip is in 2 weeks. No-body can tell Funkman, taking them now just means you fix your cost and you know what to calculate your budget on. Waiting is a gamble, it may go either way.....are you a betting man? Link to comment Share on other sites More sharing options...
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