On May 3rd I wrote an article Currencies for profit without tears. On June 2nd I suggested compiling a D-I-Y currency ETF containg FXF, FXE and FXS. Two of those ETFs are losers since then but you would still have a 4.8% gain to compare to the S&P’s 1.57% loss in the same period.
I have updated our performance maps which include the SPDR Sector ETFs (nothing exciting there) and our currency ETFs (which you should review).
For the year the S&P is carrying a 2.75% gain. EVERY currency ETF I track would have beaten the S&P with the exception of the $US. Some by a lot. Swiss Franck FXF +18.39%, Russian Rouble XRU +10.34% and the good old Euro FXE +7.55%. And that’s only the capital gains. These ETFs pay interest every month, check them out at Currency Shares.
It gets even better in July. S&P? Minus 2.15%. Swiss Franc FXF? Up 6.86% Japanese Yen FXY? Up 4.59%.
Are you guaranteed a profit in currency ETFs? Of course not. But with a bit of judicious background reading you should be able to figure out how to profit from the hard work our “leaders” in Washington are doing in their seemingly never-ending quest to destroy the Dollar.