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Posts by "aswat"

5 Posts by member
aswat
(United States)
aswat
United States
Posts: 5
15 years ago
Feb 18, 2010 23:21
I have a CAD/JPY short working for me. Given the change in rates by the FED should I adjust my target lower?
aswat
United States
Posts: 5
15 years ago
Feb 17, 2010 10:04
I regards to printing press dollars I would caution. If Arthur Burns didn't kill the dollar it shows you that all you need at the FED is a Volcker type to come along in history and put the screws to the world economy.

At this point it might serve the goals of the FED to let rates go up to bring in foreign investment. They don't have to be high just higher than the majors. Also higher rates will keep a tight string on recovery and maybe prevent the next bubble.

In the same line of thinking the PIGS are looking similar to the Latin American countries in the 1980s. Greece may be the new Mexico?

Any thoughts?
aswat
United States
Posts: 5
15 years ago
Feb 13, 2010 3:22
VOTE:No

I think not because they will want to use other tools to withdraw liquidity if they see any inflationary pressures. They will be testing the reserve rate hikes and discount rates upwards but keep the FED Funds targeted at .25.

I would not be surprised to see another voice join the dissenter vote.
aswat
United States
Posts: 5
15 years ago
Feb 13, 2010 1:36
Thanks, Ashraf, for the quick response.
aswat
United States
Posts: 5
15 years ago
Feb 12, 2010 23:55
I hope this isn't a stupid question. I have a short position in GBP/USD with stops at 1.5850 (the low of the previous wave down).

My question for anyone who has an idea is this: How could I hedge this position? What are the options?