Gersh; RE:" USD... "
...the currency giveth, and the market taketh away (^_^)
I'm sitting on EWL - Switzerland which was flat in USD terms even though the market in Zurich tumbled - because of the soaring SF98Z; now the Zurich market is up +3% but the SFranc is down again: EWL still flat !
...imagine what would happen to the EuroADR's if the USD/DEM went back up to ~1.8 -- The DAX borse would cheer the strong USD, exporters' stocks would recover and go back up, but in dollar terms, DAI ADR's and such would just sit there, spinning (like my EWL today)
Getting difficult for the F/Analyst: Berney is gonna have to start keeping track of USD : euro / yen futures !
I was feeling pretty good recently about increasing the returns on my cash to ~8.5% with the little ersatz bondz, you know, man ? But in Paris (where MadameGonzo will spend those USD), I have lost 7% of my cash value even after earning the 8% returns. Now I'm scanning high-yield EuroADR's looking to hedge the USD. Berney would probably call it cash management with a twist (^_^)
I know that long-scalping high-yield stocks, ADR's and leaving the odd-lot shares profits in situ at 7~8% APR yield ain't very glamorous, but in a tax-free account, it's a 10+ percent taxable equivalent APR yield, and looks pretty good compared to buying and holding SPY.
Right now I wish DTD - Detroit Edison 8.50% QUIDS was Dusseldorf Edison ;-)
-Steve |
