-
US Federal Debt Ceiling Threatens Forex Markets - How do we Trade It?
The European debt crisis has threatened the very existence of the Euro, but the United States has had its own potentially cataclysmic event lying in the weeds: the potential of a default if the debt ceiling is not raised by August 2. If such an outcome occurs, the most profitable positions to take would be long gold, long Swiss Franc against currencies such as the Australian Dollar, New Zealand Dollar, and Canadian Dollar. The prospect of a default by the United States would destabilize the global economy. With both political parties deeply entrenched in their respective doctrines, and the Euro-crisis temporarily put ... (full story)