looks more like a friday nightmare, page-181

Martis

I have been reading and observing the ebb and flow of this thread for some time and am very impressed with some of the analysis that goes on.

One thing that I thought I might comment on WRT the levels you are professing for our XJO is what will happen to our dollar?

One of the most importent factors investing in Australia is that our currency is a very fluid beast. The moment this country starts looking like a recession is on the cards our dollar will be crucified.

Many times since our currency was floated Australia, and its economy, has been spared due to our dollar. Companies that make up huge index weight to the XJO will benefit enormously from a crashing dollar.

Make no mistake - out of all currencies in this world, ours will be one of the worst effected if the world falls into recession. Hence it provides a very natural hedge.

Just something to ponder when you start throwing around index levels with a 2 handle!