----- Original Message ----- From: Doug Henwood <dhenwood at panix.com> To: lbo-talk <lbo-talk at lists.panix.com> Sent: Saturday, June 15, 2002 11:32 AM Subject: more dollar bearishness
> A section headline in Goldman Sachs' weekly economic letter:
>
> >The Dollar: Next Step in Deflating the US Bubble?
>
Did you get to read how they answered the question? Although I've had at
least three customers lately express this same view and talk about
international investing. Still, a lot of people are still clinging to their
Janus 20 funds.
I was thinking Doug, how does the recent decline of the dollar have a multiplier effect on the stock market sale? Doesn't it make stocks less over-valued for those buying with stronger currencies? Also, I noticed that in your last fab edition, m1 and m2 plunged. Seems like that could have strengthened the dollar or raised the interest rates in some environments, no? But is it instead helping to deflate market prices? Maybe? Pretty big and sudden change, so where's the effect?