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Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?


To: Street Hawk who wrote (662)11/14/2000 11:47:47 AM
From: marginmike  Respond to of 74559
 
If I remember correctly the same realationship Between YEN/DOLLAR occured in 89 as is happening to Dollar/Euro. The Yen cracked right after the BK



To: Street Hawk who wrote (662)11/14/2000 12:39:34 PM
From: Tommaso  Respond to of 74559
 
"I actually think a weak dollar will lead to a weak market."

Or both will go along together. Yes--the NY Times had a column on Sunday (I think) that estimated inflows to the US Stock market from abroad this year at $194 Billion. Since the markets have been down, it appears we are net sellers of our stock to the rest of the world. European investors in the US market have made even more money over the last four years (in terms of their own currencies) than Americans have. The bubble at this point is at least as much a world phenomenon as an American one.

When the dollar is no longer itself perceived as a constantly rising currency, and money shifts to other currencies, it may have a leverage effect on the stock markets as well.

Any European with large US stock holdings would be especially well advised to take profits, pay the taxes, and put the money into a Swiss savings account. Maybe even put something into gold. Those who don't will see their profits evaporate.