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Online Share Trading

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Vince888
Regular Contributor

S&P downgrade for SA. Could this mean very good buying opportunities? What does the forum think. Greed vs Fear. We will have to hold on tight and buy when opportunity presents itself

5 REPLIES 5
platvoet
Occasional Contributor

You could be right. If Zuma is forced out in the next days, then SA Inc shares now a buy, but if he stays, or the process takes too long, then banks, retailers etc likely to drop further with ZAR. Too early to commit imv.

prancing_horse
Super Contributor
The ANC have let too much time pass before getting rid of Zuma and now have no option but to recall him BEFORE a vote of no confidence takes place, as they know if the latter comes to pass it will be the end of the ANC, as then a split is inevitable. I think that is how the market sees it as well, otherwise the banking stocks would have been pounded as they were some 16 months ago. Zuma being recalled will not take our currency to where it was a fortnight ago, or a full recovery in the banking stocks, or even a massive pullback on Rand hedges, eg BTI,SOL, but I do think things will go in those directions albeit slowly, IMO
platvoet
Occasional Contributor

Okay, so the ANC close ranks behind Zuma, and the abyss lies open before us..... Or not.... There are two factors which make me question Zuma's survival.

1 A tweet from Thuli Madosela on Monday. It reads "Fellow South Africans no need to panic over the #junk status. Processes are underway to restore good governance and maintain the rule of law" What does she know that we don't?

2 The intelligence of the people in the top structues of the ANC. They can see what is happening to the country - will they really just leave Zuma to plunder. The ANC pride themselves on being united - "we as the ANC will sort it out". It would be a big blow to them to be seen to be bowing to pressure from other parties. Can they not still spring a surprise on us and themselves recall Zuma? It would certainly bring the party back into favour with many voters.

Yes a bit far fetched, but I can't help wondering.

TR
Senior Member

No chance Zuma will be recalled anytime soon, if anything he has strengthened his hand.

Vince888
Regular Contributor

Wonder if Guptas, made money from influencing the market. Think about it for a sec. Maybe Guptas knew about cabinet reshuffling and they invested offshore and probably made money from a stronger dollar. Consiracy Theory????