I'm starting to think that this falling dollar has an advantage. As the large overseas funds holdings in US equities are reduced in value due to the USD suffering, a new force comes into play: Companies have large cash piles, as do many investors and TAKEOVERs start looking very attractive! These large cash piles are going to lead to a global merging frenzy as no-one wants to be stuck with lots of paper in the bank when market shares, competitors are up for grabs?!
Note: This is wishful thinking. But the Dow is now more likely to go to 12k than 10k as it's underpinned by the fact that a lot of US companies generate revenues abroad and can export whatever they do produce in the US at a nice discount... ?
*random thoughts*
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