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View Full Version : War effecting the funds?



hunter311
07-17-2006, 06:49 AM
How do you guys think the war will effect the funds? the I fund in general...

hunter311
07-17-2006, 12:24 PM
anybody?

GordonGecko
07-17-2006, 12:49 PM
The intial tendency seems to be a flight to quality. Not sure why it means they are buying dollars. The Swiss Franc seems a lot safer these days.

Wars in general often cause an initial drop in equities, then rally quite strongly. FWIW

Pilgrim
07-21-2006, 10:45 AM
Israel has been dropping leafelets for a day or two telling everyone in Lebanon to get north of the Litani river (about 25 miles north of the border. Within the past hour or so, CNN reports that Israel is calling up reserves. Articles yesterday in foreign media, BBC in particular, cite senior Israeli officials as saying that it has become clear that airstrikes alone will not be enough.

Everything points to a ground war being immanent; an invasion and clearing operation up to the river. If it happens, Oil will spike, markets will drop, and currency will replay the "flight to safety" we saw a few days ago. No place to be but G fund until this becomes clearer, IMHO.

Birchtree
07-21-2006, 11:04 AM
Pilgrim,

Don't be so sure on the flight to the G fund. The market knows that the universal language of permanent beneficial change is violence - it's the only way toward a lasting peace.