W Buffet is wrong this time

5 replies [Last post]
executivejock's picture
Offline
Joined: 2005-06-29

Week dollar vs. Euro.. Buffet got wacked with this short term move.. So if rates go up and the US exports go down (higher cost).. Cheeper imports (to bad oil on American dollar).. Another plus for our country, not.
Any other effects from this potential shift...
DAMN I DID NOT WIN POWERBALL
 

Cowboy93's picture
Offline
Joined: 2005-05-10

Historically, claming Buffett is wrong has been a sure-fire buy sign for whatever he's "wrong" about.  For example, see value stuff circa 2000.  The way I understand the currency relationships (I'm certainly no expert), things could turn for the $ again when the Fed is done and people focus on the twin deficits.  I read yesterday that the current account deficit is the Fed's #2 concern after inflation--so I think it's a little early to claim the Oracle was off.  Early, maybe, but he's a looooooong term guy.

moneyadvisor's picture
Offline
Joined: 2005-08-02

That buffet rocks does'nt he......I can taste the margaritas now........Oh Warren?   The guy is a great mind, legendary and accomplished, obviously. What works for buffett is not something that may work in my business. He is making choices that may not materialize for 3-5 years, or more. I'm in the business of obtaining and RETAINING clients.....simple clients (relative to the investment stratosphere) ..  It's best not to get overly impressed by the gurus. Their ideas make great sense, but their time frames are often very unpredictable.....it's a different game than retail. in most cases, you have 2 or 3 years to please a client. look,... they can't even pinpoint where oil inventories are, one day we are short, two days later there is an abundance. You could literally go mad trying to keep up with all of the moving parts, and economic indicators ......and trying to use this information to make calculated choices.
 

executivejock's picture
Offline
Joined: 2005-06-29

It looks like those top dogs are in bed together so everything they touch pans out in the long term.  I'm talking about the Greenburg and Buffets.. People who own giant industries and make it happen at any cost.
 
Buffet is amazing, but the dollar is at a historical low (I think) and there is always room for up.. Maybe the defecit and other obvious issues are factored into the current position.. Obviously he does not think sooo..

troll's picture
Offline
Joined: 2004-11-29

executivejock wrote:
Buffet is amazing, but the dollar is at a historical low (I think) and there is always room for up.. Maybe the defecit and other obvious issues are factored into the current position.. Obviously he does not think sooo..

IMHO.... the dollar has been lower against the Euro. It's now trading near the original parity number. As our interest rates go higher, the dollar becomes stronger. The deficit is NBD, speaking currency-wise, no matter how politicians try to play on fears about it. Europe's in a slump which will only get worse for institutional reasons. Bottom line, dollar stronger, Euro weaker...

executivejock's picture
Offline
Joined: 2005-06-29

GO DOLLAR GO DOLLAR~~!! I'm going to Europe and I love the recent 10% gain.. Go dollar.. Go Dollar!

Please or Register to post comments.

Industry Newsletters
Careers Category Sponsor Links

Sponsored Introduction Continue on to (or wait seconds) ×