18.03.2015 - ETF Risk Management in a Strong Dollar World
Historically, when the U.S. dollar surges, forward S&P 500 earnings plummet. In the same vein, the last two times that the world’s reserve currency skyrocketed, the U.S. economy slipped into a recession. Come on, Gary. Do you really think that we have already dipped into recession territory? No, I do not. Yet the idea that the Federal Reserve can permanently prevent an economy (or a stock market) from succumbing to cyclical forces is foolish. In fact, Federal Reserve Open Market Committee (FOMC) members now have to deal with byproducts of six-plus years of zero percent rate policy, including unfamiliar volatility in market-based securities as well as the impatient ascent of the greenback...............................................Full Article: Source
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