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Post by Fletchsmile on Sept 11, 2015 12:57:23 GMT 7
Some reasonable thoughts on Australian equities below. The specific stocks recommended don't appeal but the context has some reasonable thoughts ============================================== 2 Stocks to Play a Falling Aussie Dollar
The ‘Aussie’ is down 16% since May but this shopping mall operator and building materials group benefit. The Australian dollar has long been viewed as a proxy for China’s growth, so it’s not surprising the currency has copped a beating over recent months as the world’s second largest economy has slowed. While the “Aussie” has earned some respite from its 16% fall against the U.S. dollar since May on the back of better than expected jobs data and a rebound in iron ore prices, there is a long line of economists and strategists who expect the currency to once again start sliding down and slip below the $0.70 it was trading at on Thursday. Barclays currency strategist Mitul Kotecha is one Aussie dollar bear, arguing the world’s fifth most traded currency is about 5% overvalued and could fall another 7% to levels around $0.65 in coming months. www.barrons.com/articles/2-stocks-to-play-a-falling-aussie-dollar-1441873682
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