[UKGov]Business news

Day 1,165, 02:23 Published in United Kingdom United Kingdom by Department for Education
MoT Update on the markets

Hello, the last time I have not given any graphs because the whole eUK market went crazy because of a dog called Plato, now because I think Plato is death, or at least less active, you can have some graphs again! Whoehoe!



So let’s start with food. As you can see, nothing has happened in the long term. Q1 food has stayed almost the same, Q2 has gone up a little bit, Q3 is back on the levels of begin of this month and only Q5 did something strange, it went up. So what does this mean? The admins have bought up a lot of products but the eUK has just put up more products on the markets, meaning at the moment we have more supply than demand meaning prices go down. So this has happened and we can expect to see some lower prices in the near future because of this.



Plato has pushed grain a lot higher, from 0,08GBP to almost 0,12 gbp. Meaning food will be expensive to produce, but because at the moment the supply of grain is again higher than demand we see a fall, we are at 0,10 GBP and I think we can go to 0,09 in the near future. Everything back to normal!



So what the hell did the admins do? They injected a lot of money in the markets, because when they introduced the ‘manager you can work in every company you own’ we saw a raise in supply. This raise in supply was not matched by a raise in demand. To put it this way. I own one grain and one food company. Before the change I could chose to produce free food or free grain. Meaning I needed to buy at least one thing on the market. On the moment a lot of people can produce everything they need in their own companies. This means less demand, more supply and economical depression!



But this has not happened because the admins pushed demand and they injected a lot of GBP in the eUK markets. A lot of company owners decided it was time to do some recruiting. Because of the high demand they could sell everything they produced. This is dangerous because at the moment admins have stopped buying up goods, meaning companies are producing to much. But at least temporally the admins their plans have worked, take a look on the job market.



You don’t need to be a mathematician to see what has happened. Like I have foreseen the low wages stayed low, the high skilled people saw a sharp rise in wage. Arround 18 januari they started the great shopping period and indeed wages where up, this also means that production costs are very high. This also means products need to go up in prices but people will remember that prices of products just are starting to get down. At the moment we have high wages, low prices for products. So please workers do enjoy, you are becoming very rich at the moment! Although be it in GBP.
Because creating money means creating inflation and in this game inflation is measured in gold on the monetary markets I have some surprise for you! Gold has become incredible expensive. In gold this is the wage evolution of the average wage. Please don’t start to cry.



So indeed in GBP you are very rich, in gold you are not as rich. Don’t worry, this is the same in the whole world. And if you don’t need gold you are fine. I advise people to buy up GBP and start to stock finished goods. Because I expect wages to fall but products not to become very cheaper than the current prices. So indeed this is a good time to start some cheap shopping.



So what did the admins do? Killed the markets, killed the monetary markets, killed the wage markets and killed my job. What could we do? Nothing, just sit this out. Some companies will close down…others will survive. Ow normally I would advise to export, please do this only when you have the gold, don’t buy gold at the moment. And if you export don’t sell the currency you got from that, keep it until the gold price is back down.

If you have any questions, please do let me know.
Master Hofkens,
MoT