Wall Street Journal exchange rate fail. Ms. Feng thinks an exchange rate change from 7¥/$ to 6.9¥/$ is a ¥depreciation. That’s backwards. Continue Reading →
So, once again, it’s time to remind the world that the interest rate that counts is the real interest rate (corrected for inflation) in your local currency. People who don’t live in Brazil are automatically exposed to exchange rate risk when they send part of their wealth off to Rio. Continue Reading →