Keys Corner

The Economist has been saying for several years that the US dollar is overvalued and that what goes up must come down. Now the Managing Director of one of America’s leading fixed income managers (Bill Gross at Pimco), has expressed the same opinion, finishing his article called “As GM Goes, So Goes the Nation” with this quote:

Need I say more than to sell U.S. assets and buy Asian ones denominated in their local currencies; or if necessary to hire a global asset manager with sufficient flexibility and proper foresight to thrive in an increasing difficult investment environment?

The (quite short) article is worth a read and Bill manages more investment money (around 590 billion dollars at the last count) than anyone else on the planet, so he’s worth listening to.

Oh, and one other thing about money that I read today – how about getting around 50% on your investment overnight? Well, the Guardian points out that if you buy a ton of British pre-1992 2 pence coins (145 000 coins, worth £2900) you can sell them as scrap metal for £4400 £4700 at the moment, netting you over 50% profit. Mind you, I’m not sure that it’s legal to melt down coins of the realm, so don’t say that I told you to do it!

This entry was posted on Thursday, May 11th, 2006 at 20:05:19 and is filed under Economics, USA. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.