Commodity Trading & Trend Following

Sure, there still exists safe havens. All one has to do is look at the recent action of the Swiss Franc. It imploded from 140 to Fridays 113. That is a big drop in a very short period of time. Is gold next or is it going to thousands as many gold bugs predict. No [...]

In these uncertain times all are asking where to put their money? I am not supporting one should jump into forex currency trading. I am referring to a safe haven in which someone can park their net worth. In the past the safe havens have been US Dollars, Japanese Yen and Swiss Francs. The problem today is that these countries economies are struggling. The Japanese economy is a disaster the International Monetary Fund forecast the country’s output shrinking by 5.8% this year. The Swiss have their issues for example UBS as far as tax issues,all the toxic assets the major banks are holding as well as untold amounts of loans in Eastern Europe based in Swiss Francs which might not get paid back.

The innocence and knowledge of a child is sometimes much more clearer than our insights. My young daughter asked me what comes after a Trillion dollars. My son answered a Zillion. I had to interject and add that does not exist ( yet). Maybe U.S. Treasury Secretary Timothy Geithner will invite a new number the way he is going.

Nouriel Roubini and Nassim Taleb (”Dr Doom and the Black Swan”) discuss the crisis –and what to do about it.

Is the US dollar the best of the worst currencies?

The case for a bond bubble