IT can be argued that a sale such as the BSA Cape Yearling Sale at Mistico on a Friday doesn’t merit a blaze of publicity whether at home or abroad. Why courier catalogues overseas? Why highlight Moody’s?, writes DAVID ALLAN.
Moody’s?? Well 26th, 27th February are two very important dates for South Africa, and Mistico is the day after. The budget is on 26th. Of the three global rating agencies, Fitch and Standard&Poors already rate South Africa “junk”. Moody’s doesn’t, yet, but depending on what they think of arrangements for Eskom and the rest, they might downgrade to join the others.
Lives wouldn’t change overnight but the cost of borrowing for the country will, and gazillions of rand in investment funds would immediately be sold off because fund managers have bottom line triggers in what they declare to their investors.
The simple effect on the morning of Friday 28th would – if as above – be a run on the Rand. It is already 19.44 to the Pound Sterling £ as I write, and the equivalent figure for € and $, but correct me if I’m wrong, it hasn’t been 20-something other than when Mr Zuma had three different Finance Ministers in a single weekend.
In days of yore, AllanBloodlines advertised to our overseas supporters the price of SA yearlings together with a graphic of the rand value and a link to our partner foreign exchange broker whose London staff include South Africans who watch the rand closely. The combination has worked for yearlings, especially at the Nationals and the Equimark Vintage Yearling Sale.
The Vintage was IMHO a really good sale. As many readers know, it was a breakaway from the TBA/ BSA to which Odessa Stud, The Alchemy and Arc En Ciel sent large drafts with an array of others making up the numbers.
At Durbanville in mid-March, it was an attractive affair with usually a couple of tables of UK visitors, courtesy of Weatherbys travel department, clubbing together for some fun. The Vintage had a vibrancy all of its own.
It was killed off by the first Cape Premier Yearling Sale (run by BSA for what became CTS). But when CTS put in their own “Book 2” first at Kenilworth, then at Durbanville, we applauded and believed that it could become a very important event.
I still do. March works. Europeans can still come. More yearlings can be prepped in time. If back at Durbanville, there are restaurants and guest houses a-plenty, a Wine Route and 30 minutes to the V&A Waterfront.
Be all that as it may, there will be some very nice horses indeed at Mistico on Friday available for prices that for now continue to spoil buyers for choice. – from Turf Talk Newsletter.