Weekly Musings 36 9-10-11
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For those who are new to the Musings: they are basically a glimpse into my notebook, the unfiltered swamp where I organize future themes, sort through the dozens of stories and links submitted by readers, refine my own research and start connecting dots which appear later in the blog or in my books. As always, I hope the Musings spark new appraisals and insights, and thank you for supporting the site.
The FXE/UUP Trade
The FXE/UUP trade mentioned in last week's Musings (short the FXE, an ETF proxy for the euro, long the UUP ETF proxy of the U.S. dollar) performed well this week as euro-denominated assets appear to be flowing into U.S. banks and dollar-denominated assets. It's impossible to know what happens next, of course, but a continuation or even expansion of this dynamic is certainly one possibility.
Ten Years After 9/11
Rather than add to the great flood of 9/11-related coverage, I'm listing a few resources that I found especially poignant/informative.
In trying to make sense of the many issues implicit in 9/11, we might recall Chou En-Lai's reponse in 1972 when asked about the impact of the French Revolution: "It's too soon to tell." It is widely assumed Chou was referring to the 1789 Revolution, but according to the interpreter present, he was actually referring to the 1968 student uprising in Paris. What are the full consequences of 9/11? It's too soon to tell.
Submitted by Ken L.:
"Choose your enemies well for you will become just like them." (Yiddish proverb)
Thank you for reading--
Charles
