Wednesday 27 April 2011

Europe is on Vacation

This is a four day week-end in most of Europe, particularly in the U.K. It's back to back with last week's  four day Easter week-end. Friday is the Royal Wedding and Monday is May Day. May Day is also a European holiday. Twelve Million Britons have left the U.K. to take holidays. They only have to take 4 days of holiday out of their 4 weeks (at least) allocation to get 12 days of vacation. This is a very unique and due partly to the late Easter holiday and also the wedding.

Don't expect great volume this week. The stock markets are celebrating good earnings. I'm enjoying the moves but glad I'm not a long term investor. Today's Ben show will be interesting. Strange to see the U.S. Fed copying the European Central Bank (ECB). Maybe some more will rub off, although it seems to me that the so called strong dollar policy is a myth, as I think I've said before. Week dollar makes imports to the U.S. expensive, exports cheap and allows the U.S. to repay debt with cheap dollars. I'm not sure that I'd stick all my wealth in the Euro either. I'm a Gold bug going back to the late 1970s. Gold at $1500 looks expensive, although priced in Euros it's a bit cheaper. I guess diversification is the answer, but that's saying "I dunno what to do". The jury is still out and I'll have to make a decision soon.

1 comment:

  1. Tom, can you speak more to your long term methods? Are they derivatives of your day trade method? Thank you.

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