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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 371.65-1.1%4:00 PM EST

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To: Muthusamy SELVARAJU who wrote (6297)5/12/2006 11:14:58 AM
From: RJA_  Read Replies (2) of 217830
 
>>I wonder what is your current view on the relative attraction of contra-USD currencies, i.e. CAD vs AUD vs EUR?

The euro play (IMHO) would be for an alternate to USD for reserve currency status. Euro zone as a whole has had a positive trade balance... (However I am lacking current figures on this -- has anyone got a good current source for various countries/zones current trade balances?). Euro has much larger base then either CAD or AUD.

CAD has nice trade balance because of energy and other exports. However, it is arguably too close to US. Problem with US economy will effect CAD land. However, CA is right next door, I can go look at it or hang out there pretty easily... Also I like energy exporting ability (Oil sands, etc) better than other raw material exports...

As far as AUD, my latest news (none too fresh) was they had a current account deficit.

So my two bets are CAD and EUR.

Also, Canadian Oil Income Trusts (Decent dividend, and currency play)...

Just my view, and I am open and interested in other ways of looking at things which could lead to other opportunities <grin!>.

Best wishes!

RJA
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