Vietnam- Did not take long

Emailed 19th August 2015

Currency wars ‘ad-infinitum’

Now await BoJ to commence a further round of Quantitive Easing and Bank of Korea to deflate

*VIETNAM CENTRAL BANK DEVALUES DONG BY 1%
*VIETNAM DEVALUES DONG REFERENCE RATE TO 21,890 PER DOLLAR
*VIETNAM CENTRAL BANK WIDENS DONG TRADING BAND TO 3% OF RATE

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So Vietnam treading water – in the vain hope that this will help exports.

It won’t – I used to like the old Vietnam knee jerk reactions of a 20 percent devaluation- had more oomph – they have matured a bit in the last few years but it would not surprise me in the least if they reverted to their old ways.

Indonesia took a hit with around 20 percent reduction in exports and a 28 percent reduction in imports. This is a BIG hit to the local economy. No wonder the Government increased tariffs on consumer goods.

What has happened in Indonesia WILL happen to all South East Asian countries. All of these governments will run out of money as they are too stupid to see the writing on the wall. All politicians need the old days – an money to continue. They cannot grasp the simple fact that they are spending far more than they are earning.

This country running out of money.

Sent from my iPad

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