As central bankers and their sometimes deflation fearing staff scramble to make sure their never before seen quantitative stimulus doesn’t fall flat like a stale glass of Coke, a February 6th Bridgewater strategy note reviewed by ValueWalk observes a unique correlation consideration. Stay tuned for more from Bridgewater! Forget macroeconomics and supply and demand, those are old school methods of determining a currency’s value Hedging currency risk was, at one time, largely a macroeconomic affair where the natural supply and demand balance in each economic region dictated the currency’s value. When a government’s economy faltered, its currency would lose value….
Bridgewater Notes Hedging Strategy As Central Bankers Go Activist
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.