Was keeping a watchful eye when Bitcoin exceeded 1000 EUROs.
Today, it overtook 1000 Great British Pound Sterling. Another milestone.
Perhaps it is converges into another indicator that I was researching simultaneously upon. The Olympics Host Nation syndrome.
For some reasons, a nation that hosts the Olympics – in recent decades – seemingly will burn out their system, their economy (still this part is subjective), and ultimately their currency.
The economy is harder to pinpoint. Since whatever you read on the news, does not reflect true sentiments, and true sentiments of a particular group that got disadvantaged will certainly not be on the similar frequency of happiness of the winner. Such as property. One group will trumpet the rise in property prices, collecting huge amounts of rent in central London, central CBD Singapore, high end condominiums that a month’s rental fee is equal to ten times an average executive with a college degree.
IN Singapore, at least the Business Times, The Edge News – will often report of property sales dipping 2%, languishing, bleak. But people are thriving. Their currency climbed up against their peers in South East Asia. They can take once-a-month – monthly vacation to Bali, Bangkok and even Budapest. It was 1 Singapore Dollar can buy 2 Malaysian Ringgit ten years ago. Formerly, 40 years ago, it was 1 to 1 ratio. That is double. A 100% gain. Today, or add another 10 years, it is 3 to 1 ratio. One Singapore Dollar buys 3 (and more) Malaysian Ringgit.
Back to the Olympics.
Greece is bottoming (again). And on and on and on. Nirvana. Athens hosted in 2004. About ten years later, the monetary, debt, financial systems, went into some massive bleeding.
Sydney hosted in 2000. Did Australia went into some financial trouble in recent years? I have yet to check, though I recalled that their currency went down in around 2010 – 2013.
London was host in 2012. Now a perfect storm brewed. The common folks are disenchanted, disenfranchised. If you look at the Brexit map, London was like an island among a sea of Leave. Their saving grace was Scotland voting to stay. Alas, Scotland too might think of leaving the Union. Since originally Scotland needed to be in the United Kingdom due to economics, and access to EURO. Now, Scotland could simply leave the Union, and negotiate an entry into the EU by itself. Finally, they won’t have to rely on the British Pounds. (Scottish Pounds are issued similarly, but they are never widely accepted worldwide even though it will be on par in England – it is normally discounted 20% or taxed 20%).
Seoul hosted in 1988. “Hand In Hand” was a great song. Love the lyrics. Then (again) about ten years later, they had a massive economic collapse.
Beijing hosted in 2008. In recent months, there is tension with their economy, money supply, debt structural system. They might have copied wrongly the American idea of home ownership, building housing, and dishing out loans after loans. Well China is a big nation. A nation of many nations. It is was Europe was trying to copy but failed with the EU. So eventually when housing market collapses, or another system collapse, some region, some owners, some people will not be entirely affected. Their cities have Tier 1, Tier 2, Tier 3. Much like intergalactic space ships. Some newly minted cities, are ghost town without a soul. But in Tier 1 cities, the demand for housing is enormous. Much like Hong Kong, Singapore, small nations that are generate high income.
Let’s try one more.
Brazil. 2016. Last year. If signs of crack only appear later in 5 years, or 7 years, then at ten years it implodes. Brazil’s case is happening right now.