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Wednesday, April 7, 2010 as of 11:14 AM ET

The Casone Exchange
  • October 28, 2010 10:10 PM UTC by Cheryl Casone

    Best Guess: Weak Dollar Wins?

    We focus much of the time on the health of the dollar. Depending on what side of the trade you are on, it can be a net negative or a net positive.  Let’s think positive for now:  many multi-national companies are coming in with strong revenues and good growth forecasts for the third quarter.  Especially those that have their tentacles in several overseas markets.  In fact, the weak dollar can HELP many big names when it comes to producing earnings.  That can benefit U.S. investors.  On the down side, it will drive up commodities like crude which will pressure to the upside gasoline prices and eventually food and retail prices.  What side of the trade are you on?

    Now to Best Guess….

    James Lebenthal:  Gold is going to go higher, but a better bet is to buy the currencies of gold and commodity-producing countries.  Buy the AUD and CAD.  Gold going higher means that the USD is being debased.  But against what?  The euro, yuan, yen?  Non, against the AUD and CAD.

    Todd Shoenberger: Page Six, Richard Johnson leaving….As sad as it is to see Richard Johnson leave Page Six, it further illustrates the evolution of media in the world.  The days of print and hold in your hand newspapers are just about over as the news reporting industry moves into a digital world.  My best guess is you will see a consolidation (which is really already occurring) of news/broadcasting/entertainment completely exclusively in a digital format.  As great as this sounds, it will completely change our society.  Those not able to afford electronic ways of obtaining news and headlines will be left out–and thus further increasing the gap between the haves- and have-nots.  We are soon to find ourselves with only two social classes: Upper and Lower, or Educated and Uneducated.

     Clint Greenleaf: QE2 will happen (unfortunately) and it will be a failure – ala Japan.

    Jim Awad: best guess-the markets are doing better while the economy is doing worse than the Fed expected! What’s up? my guess is the markets are celebrating a message from the people: cut the debt -shrink the government so that the private enterprise system can cleanse itself and start to create jobs!!!!!!!!!!!!!!!

    Ephren Taylor:  — petrobas ipo and it’s eclipsing size, puts brazil into the energy spotlight. It’s been a sleeping contender being constantly shied by india and china. As money looks for a stable place. Brazil is about to rake it in! There’s more there than shrinking bikini lines! Not only do the people look great, but so does their economy.

    Tim Call: Best Guess is market moves up 20% by the end of 2011 (S&P 1400; Dow 13,100) because of third year of election cycle.  Typically, during the quarter of a mid-term election stocks rise 8%.  During the twelve months after a mid-term election the market rises 17%.  Since we are undervalued and at the beginning of an economic cycle the gains should be larger.  A leader in both indices should be Microsoft (MSFT) which could rise 30% in the next year as it benefits from new product launches in just about each of its categories (Windows 7, office 2010, server software, gaming software, etc).

about this blog

  • Cheryl Casone joined FOX Business Network (FBN) in September 2007 as an anchor. Prior to FBN, Casone served as a correspondent for FOX News Channel’s (FNC) business unit and was a regular guest on FNC’s Your World with Neil Cavuto. Casone brings years of experience covering finance, business, and consumer news to FBN.

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