Morning Brief – South Africa: National Student Financial Aid Scheme

South Africa: National Student Financial Aid Scheme

 

Rather a lot of egg on the face of the NSFAS which took financial aid to a whole new level by sending student Sibongile Mani rather more than the ZAR 1,400 or USD 95 that she was expecting. When ZAR 1,400,000 or USD 95,700 landed in her account Sibongile Mani started spending after just 2 hours and managed to work her way through over ZAR 1 million in just 73 days on a myriad of purchases across the country on a large variety of items including weaves(?), mobile phones, alcohol, bedding and luxury goods. When the law caught up with her, the judge took a dim view and jailed her for 5 years for theft. Students of English law will doubtless recall the famous case regarding what constituted “necessaries” for someone in this position. Needless to say, the judge clearly considered Sibongile’s purchases as being far from necessary.

 

Oil

 

News that the USA is considering the release of the largest amount ever from its strategic oil reserve-rumored to be a release of 180 million barrels over the next 6 months-was enough to send global oil prices sharply lower. NYMEX WTI $103 after a low of $100. To put that amount of oil in context: 180 million barrels is the equivalent of 2 days of global oil demand. Meanwhile Californian motorists are arbitraging the price of fuel in the San Diego area at $6 a gallon by crossing the border into nearby Mexico and filling up for $3.30 a gallon with subsidized fuel from state provider PEMEX. That saving no doubt going a long way to pay for the entertainment on offer in Tijuana. Mexica Peso firm at USD/MEX 19.91- its strongest in the past year.

 

Wind and Solar

 

News that wind and solar now account for 10% of the world’s electricity needs and that more than 50 countries now derive more than 10% of their electricity needs from wind and solar was enough to get the organizers of the 2015 Paris Climate Accord claiming victory in the fight for sustainability. Especially timely given the unprecedented hike in UK energy bills due to bite…today.

 

Global Bond Yields

 

10 Year US government Bonds now yielding 2.32%. 10 Year German Bunds at 0.59% up this month by 0.42% the biggest monthly surge since 2009. Gold at $1,941 has enjoyed its best quarter for 2 years up 6% on the back of capital flight following the Ukraine invasion. EUR/USD 1.1080 with USD showing gains of almost 2% in the past month.

 

Wild Thing

 

Having 45 minutes of spare studio time this day in 1966, the Troggs cut this gem which went to the very top of the charts and sold a million copies in just over a year:

 

Wild thing, you make my heart sing
You make everything groovy, wild thing
Wild thing, I think I love you
But I wanna know for sure
Come on and hold me tight
I love you
Wild thing, you make my heart sing
You make everything groovy, wild thing
Wild thing, I think you move me
But I wanna know for sure
Come on and hold me tight
You move me
Wild thing, you make my heart sing
You make everything groovy, wild thing
Wild thing, you make my heart sing
You make everything groovy, wild thing
Wild thing, you make my heart sing
You make everything groovy, wild thing

 

Have a Great Weekend!

 

 

 

Discussion and Analysis by Humphrey Percy, Chairman and Founder

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