Hello retired, <<holding cash in one's OWN currency never seems to feel like a good "move" or strategy>> ... especially at ridiculous rate on deposit, much like chasing one's own sister's best girlfriend, a one-sided relationship that will never likely progress anywhere :0)
If I were Canadian, I would have to consider shares of dividend paying domestically oriented businesses and regionally oriented commodity shares, as well as make a decision on whether Euro and Euro-space companies will out-perform CAD and CAD-space companies. I would also have to evaluate some Asian and LatAm emerging market shares.
The price of gold in AUD and CAD has not been nearly as exciting as in USD, but then I treat AUD, CAD and gold in the same terms, namely protection of global purchasing power of what I already have.
In fact, not coincidentally, I would have to consider all of the above even though I am not a Canadian.
The game is an absolute game for everyone, most of the time.
<<how far do you see the canuck dollar going, versus the american ?>>
I do not pretend to myself that I know the answer. I suspect the cycle of decline will be long, complicated by Asian central banks and Middle Eastern wars, framed in parameters set by the mobbing crowds on the streets.
... but I ask myself, why not one to one for the CAD, and 1.5 USD to 1 Euro ?
... else how can I believe gold will rise to beyond USD 800/oz before this cycle of grab and abscond is over?
... finally, at what exchange rate will stable equilibrium be achieved if the US was a 'normal' country like Argentina, obeying the same rules of financial discipline?
... the US may simply stop short of an Argentine outcome;
... we already know the US will not track the Japan solution, even though the 'bad deflation' will look somewhat similar;
... let's see where California finds a solution, or not, in the coming months.
Chugs, Jay
P.S. Unlike a Canadian, I cannot afford to remain in CAD-space very long, just as a sniper cannot remain in one location after a series of successful shots.
So, forever the financial refugee, seeking out the next port of call or quiet cove. |
