The US public debt is increasing and now standing at 5.8 Trillions Dollars! What does this mean? Based on fundamental economic theory, it means they have to print more money to repay their debt, and when they print more money, slowly but SURELY..their currency is going to go down!
Now, what does this mean? You might think of buying US equities now and it might be a good idea. But take note that if you are buying foreign equities, you are not only exposed to stock market risk but exposing yourself to exchange rate risk.
So, should i invest in US equities now or not, given the undeniable fact that the US currency is going down in the long run, if you believe your stock can still make a good return after netting off the loss in exchange rate....pls go ahead. See the video below with Jim Rogers ( I have something to say about him..but i will leave it for another time)
Latest Forum Topics / Fixed Deposits | Post Reply |
Is it the right time to invest in US dollar?
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kawaiiboi
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23-Oct-2008 13:39
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Sg main exporting countries includes USA.. the point MAS is trying to depreciate the Sing dollar is to let Exporters survive the recession.. the trend might continue for the next 2 quaters so we will more likely see the SG dollars weaken to S1.56 to 1 USD | ||
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crazy_fave
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23-Oct-2008 09:17
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1 USD = 1.4981 SGD. | ||
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crazy_fave
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22-Oct-2008 08:29
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1 USD = 1.4868 SGD | ||
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crazy_fave
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16-Oct-2008 07:53
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US$1= S$1.4819. | ||
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cheongwee
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13-Oct-2008 01:01
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US tresury is safe but not the US $,, with all those bailout ..they just got to inflate their way out and keep their printer running..look to US $ coming down in the coming month..the dollar is losing their value.... Buy gold and silver..buy stock later in 2009 end. |
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HLJHLJ
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13-Oct-2008 00:41
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I think should save the bullets to go into equity. Just my opinion. |
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Livermore
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12-Oct-2008 21:47
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Yeah let's see if this US dollar rally can really last.
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singaporegal
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12-Oct-2008 21:29
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Actually the USD is now appreciating because people around the world and buying US treasuries because they are deemed to be safer than leaving money in the banks. Isn't it ironic? USD appreciating but US is the cause of this crisis. |
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sgdividends
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11-Oct-2008 11:35
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NO its not a right time to invest in the US dollar. Why? cos of their increasing debt. The US Currency - Its gonna go down! |
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crazy_fave
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10-Oct-2008 09:01
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1 US$ = S$1.4771. 1. Singapore economy in recession. 2. Full year Sing GDP estimated at 3%. 3. MAS eases monetary policy.
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crazy_fave
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06-Oct-2008 19:00
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1 US$ = S$1.4634. | ||
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ten4one
Master |
15-Sep-2008 09:06
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Spot a trend early and you'll have a Winner (haha....easier said than done)! Trend will collaspe when the 'herds' begin their stampede.....always! Cheers! | ||
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singaporegal
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14-Sep-2008 10:32
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USD's rise may be coming to an end. Latest retail numbers are pretty bad and there's talk of an interest rate cut coming up soon.
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iPunter
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12-Sep-2008 13:03
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The most fearsome thing in all markets is a trend... | ||
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crazy_fave
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12-Sep-2008 12:01
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Below are my observations and views on the various asset classes : 1) Cash - low interest rates; 2) Stocks - downtrend; 3) Real estates - same as stocks; 4) Foreign currencies vs S$ - US$ and RMB - uptrend; Euro, GBP, Yen, A$ and NZ$ - downtrend; 5) Natural resources - same as stocks and 6) Precious metals - same as stocks. My conclusion is, therefore, to buy US$ and/or RMB as small retail investors living in Singapore have not much choices. | ||
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singaporegal
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12-Sep-2008 10:26
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I find that the Foriegn fixed deposits offered by the banks are ridiculous.They trap you into buying them by touting high interest rates. You cannot withdraw your money at will or you will incur a penalty. And if you do want to withdraw, you can only do so at a certain fixed date. You have to go down personally to the bank to do so. It is very troublesome. The forex market is very dynamic and things change very fast. I know people who put in large sums of money and are now trapped when the NZD and AUD collasped recently. If you had a Forex trading account, you will know that you can do EXACTLY what the banks are doing. You can buy into a currency pair and earn interest over time. But you also have the ability to bail out if the situation changes. |
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cyjjerry85
Elite |
12-Sep-2008 01:55
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Dollar hits 12-month highEuro falls below $1.39 for the first time since September 2007 as European economy continues to slow. |
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Ucrano
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12-Sep-2008 01:46
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Buy US assets. Not US dollars. | ||
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zbabez
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11-Sep-2008 10:57
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I actually thought right now will be a good time to invest in US, since it is going up (from 1.34 to 1.44 now). However there are some contrarian view, like in this blog (dragonhomme.blogspot.com), where it mention that US vs SG may drop in a long term view. What do you think? |
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