Stock Prices, Interest Rates, and Exchange Rates
It has been proven again that the worldwide stock-price drop can be a chance to make a big profit.
If you can specify P (specific procedures), like Nobel prized economists, you may make your fortune:
P (S, I, E) = Margins
S: change in stock values
I: change in interest rates
E: change in exchange rates
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The state before the Shanghai Stock Market down slide, which could be regarded as a "sell-out" against Japan, was that major players in the world money market were busy selling low-interest "yen" and buying "high-interest financial assets" in emerging countries so as to get a big margin.
But, according to information also discussed in Japan, Mr. John Meriwether of JWM Partners started to buy "yen" and "US Treasury bonds" when he heard the news of the sudden declining in the global stock markets.
Thereafter, he succeeded in selling yen and the bonds at a profit, especially exploiting a sharp rise in the yen's value in the exchange market as the aftermath of the sliding share prices.
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The basic money rate in Japan has been very low, though recently it was decided to be raised to 0.5% by the Bank of Japan. But, yen, the currency of the world second strongest economy, is very reliable money. The US Treasury bonds are also very reliable. But, yen and the US Treasury bonds are not attractive financial commodities in comparison with stocks unless something extraordinary has happened in the stock market.
The good lesson here seems to buy "yen" and the "US Treasury bonds" next time the Shanghai Stock Market tumbles and subsequently sell them at the highest price.
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The issue is whether this kind of business will increase value in human society.
Will it increase value of the world?
But, it will surely widen a gap between poor countries and rich countries.
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You may be on a diverging point. You can accumulate wealth in this world or otherwise in Heaven.
It is your own choice, though I humbly made a choice a long time ago, a result of which your are now encountering.
(Once in Europe, a profession dealing with money was regarded as very mean. Today, those days are called the Dark Ages. But, it might be opposite. I think it is due to propaganda. "Partly Go back to the Middle Ages" might have to be shouted by somebody to balance it.)
"WHOEVER DOES NOT LOVE THE LORD"