SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Pastimes : The Big Picture - Economics and Investing

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Tommaso who wrote (518)12/12/1997 5:24:00 PM
From: Don Earl  Read Replies (1) of 686
 
Hi Everyone,

I'm trying to get a better feel for what's going on with the economy and how to take best advantage of current conditions.

What I'm trying to figure out right now is; a company I'm invested in took out a good sized loan in Maylasia last June. A dollar is worth about a third more now there, than it was in June. What happens to the loan? Can they make a fat profit by paying it off in American dollars or do interest rates eat up the difference?

It seems to me a company that is located in the US but does most of their manufacturing in Asia would have a large advantage because of current currency conditions. Is that sound reasoning or am I missing something?

Regards,

Don
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext