The Euro is now 1.12 and change to the dollar, the lowest level since 2003. The USD/Canadian dollar is over $1.24, leaving the mapled syrup iceberg to the north in shambles. The Aussie dollar is now 0.79 (LOLz). Remember when it was $1.10?
All of the gold bugs swore the dollar was worthless, when in fact the exact opposite was true.
How do we play this trend?
Go on a foreign vacation and behave like Boss Hog. Also, buy foreign exporters or real estate in these lands.
The drop in crude should equate to a +0.7% boost for both US and Chinese GDP. The big winner, however, is the Philippines, who will enjoy upwards of a 2% GDP boost thanks to spiraling lower crude oil. At the same time, China is expanding their strategic oil reserve, which has more than doubled over the past year.
Look, it’s real hard for me to suggest a stock here, with 11 countries at zero % interest rates and bonds soaring to new highs. This isn’t a normal pattern and something is wrong. It’s indicative of crisis. Nonetheless, I am 90% long.
Barring a crisis, the following foreign names might offer some upside, when considering the size and duration of the european QE programme.
LUX (sunglasses)
LULU (yoga clothes)
PHG (electronics)
UN (processed/packaged goods)
PHI (Philippine telephone co)
ALU (telco equipment)
BUD (beer)
FCAU (autos)
TTM (autos)
same ol’ shit as 2014: dollars, treasuries, china, reits, utilities, bio all surging
What CHINESE stocks are flying?
I said china, not Chinese stocks. That would be the SSE Composite Index and the only ETF in existence that tracks it CHNA
America wins again.
FUCK YA AMERICA!
Senor Fly. Could you explain dollar denominated debt and what it means? I have heard that it is a problem for emerging markets. Thanks in advance.
because everything is relative.
I got rid of all my Loonies and bought King Dollar a couple of years ago. In the last month I’ve recouped all of last years losses and more by watching the Lonnie drown. Real Estate around here is VERY expensive. Stay the fuck away.
Maple syrup iceberg.You have described
Quebec city perfectly.Now go and spend
some of that newfound weath and
visit.This is the perfect time..
Is it king Dollar or really king Swiss?
I really like VLKAY here. Second largest auto manufacturer in the world, with strong luxury brands that rich Americans and Chinese love to have.
Should we assume the third of profit generated by the SPOOs from other countries will drag on EPS or just kneel down and hope for moar PE expansion from ECB money printing?
Gold is going well considering King Dollar
Perhaps the Tallest Midget is being outplayed by the money choice of real aristocrats?
Having strong dollar may not really be good for the economy, except in the sense of, “my dick is bigger than yours…”
Yours certainly is smaller than mine.
Hey Shitnuts. Our Mapled World is just lovely. In fact it is currently being filled by over stuffed lardassed Americans keen to spend their gas savings on our mapled syrup, ski hills and better lifestyle. Cheers from the North.
CNHI
My guesss is DJIA closes up 50 pts.
Guess again
The Canadian lumber companies, albeit a boring industry to invest in, make a lot of cake in this scenario as 70%+ of their production is sold into the US (in $USD of course). I like West Fraser, Canfor, Interfor right now.
Boss Fly,
My suggestion, since you don’t seem to want to short anything, is HEDJ. It is a hedged (for currency risk) European ETF. Pretty much tracks the major European equity indexes. Up 10% in the last few weeks.