Home » Behavioural Investing » Freaked About Interest Rates? Freak on This $VIX, VXX, $USDCAD

Freaked About Interest Rates? Freak on This $VIX, VXX, $USDCAD

Stock market will tumble when quantitative easing slows or stops. Obama may want to let the Republicans do it so they can screw the big money supporters. Well maybe. So stay away from interest sensitive investments like bonds. as rates rise bonds tank. easy right.

Stay in  US Dollars because other economies will be suspect. Right well mostly. take a look at the Canucks to the north. They are dangerously close to balancing the federal budget and starting a lot of personal tax cuts. they will probably increase their version of social security but have it funded properly. they have real healthcare without stupid web sites and pay for through general taxation.

The Canadian dollar will do remarkably well because Uncle Sam still needs to borrow and increasingly high interest rates will be needed.

So if you have a few bucks take a look at Canadian denominated assets or real estate or just cash for now. Then when the tables turn so do you.

George Gutowski writes from a Caveat Emptor Perspective.

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