Wednesday, November 25, 2009

NAV for companies with international exposure

RockyR said

"mostly in cash here. sad"

hey Rocky, yeah...its hard to know if one should jump, the markets are so crazy

gold looking bubblelicious of late if you just look at the chart

but

when one considers the talk coming out of the fed...maintaining low rates

and all the rest of the craziness out there...gold probably still has a good run ahead of it

i guess...but i just dont know...and for that reason im never all in...in anything

and so ill never make the big hit...im notsosmart

theres a good argument out there that equities will continue to do well as long as the fed is demolishing the dollar

ie if one assumes any company has an intrinsic NAV then as the dollar becomes worth less the dollar denominated value of the outstanding shares should go up

heres my question, ...is this more true.... or only true... for companies that have international market exposure...i would think so,

and they should do "better" if (when) there is a recovering world economy as we, the (usa) are being dunked repeatedly in the toilet

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