All Posts Tagged With: "money"

You can find a coin shop in nearly every town in the United States. The proprietor is unlike any you will find in any other store. He is unusually steeped in history, intensely aware of the larger context of the passing economic and political scene. This is because if it is a good shop, you will find the whole history of modern life on exhibit, and learn more from looking than you find in a multivolume history.

“Monetary warfare!” says The Financial Times. In North America, the US is pointing its heavy guns at China… The US Congress has proposed a bill naming China as a “currency manipulator.” How, exactly, is China manipulating the renminbi? It is holding steadfast to the dollar!

There may be a simple economic explanation for the best September on Wall Street in 71 years. No double dip recession…improving labour market numbers…rebounding house prices. Except none of that is true. So what is left? Well, as near as we can tell, everyone seems to be front running central banks. Is the Fed buying stocks? Not yet.

It’s an all-out attack on the greenback and everyone else is winning! The Aussie dollar has reached parity with the Canadian dollar (the Loonie) and is fast approaching its previous highs against America’s number one export (the U.S. dollar). So is this a turning point in the currency wars? Well, like all wars, a sensible question to ask is, what are we fighting for?

Epithet for a doomed economy…What will they say? How will they describe the ’00s and ’10s? Irish Prime Minister Brian Cowen was accused of being drunk when he gave a “croaky” radio interview two weeks ago. He denied it. But we’d be tempted to turn to the bottle too…

This discussion about Emerging Markets is essentially one of analyzing the risks you wish to take and the ones you don’t. If you were a young, heterosexual male, for example, you might be willing to risk missing a new episode of The Simpsons to risk going on a date with Megan Fox.

If you’re interested in Australian resource stocks, you need to keep an open mind and look outside our borders too. Because we’re so proficient at getting valuable stuff out of the ground, you tend to find talented Aussies wherever the resources are the world over.

What’s your take on technical analysis? The idea that prices can be forecast from charts seems counterintuitive, let alone at odds with the Daily Reckoning philosophy. Well, working alongside Murray Dawes, our trader here in St Kilda, would change your perception rather quickly.