A Hypothesis for the Connection Between the Australian Dollar and the S&P 500

(This is an excerpt from an article I originally published on Seeking Alpha on August 20, 2012. Click here to read the entire piece.) A reader recently asked the following questions in response to my last piece on the relationship between the Australian dollar and the S&P 500 (“A Bearish Divergence As Australian Dollar Stalls … Read more

Stronger Take Home Pay and A Productivity Puzzle Tug on the U.K.’s Economy

(This is an excerpt from an article I originally published on Seeking Alpha on August 15, 2012. Click here to read the entire piece.) The Bank of England’s latest Inflation Report (August 8th) included two items that I found particularly interesting: The Bank of England (BoE) expects the squeeze in take home pay in the … Read more

The Reserve Bank of Australia Declares Soft-Landing In China, Focuses On Europe

(This is an excerpt from an article I originally published on Seeking Alpha on August 7, 2012. Click here to read the entire piece.) The immediate response to the Reserve Bank of Australia’s latest monetary policy decision was muted, but I think the statement spoke volumes. The RBA essentially declared a soft economic landing in … Read more

Apple’s Important Macro and Forex Calls and Likely Post-Earnings Recovery

(This is an excerpt from an article I originally published on Seeking Alpha on July 29, 2012. Click here to read the entire piece.) {snip} Like all companies with extensive international presence, Apple took a hit from the strong dollar (UUP)… {snip} Apple appears to expect continued strength in the U.S. dollar as the company … Read more

Swiss Franc Refuses To Confirm Fresh Euro-Optimism

(This is an excerpt from an article I originally published on Seeking Alpha on July 1, 2012. Click here to read the entire piece.) On Thursday, June 28th, Swiss National Bank (SNB) vice chairman Jean-Pierre Danthine repeated a claim made consistently by the SNB: at 1.20 the Swiss franc is overvalued relative to the euro. … Read more