FAST MONEY FEATURES
FAST MONEY POLLGet in the post game. Respond to our "Question of the Day" right now.
FULL SHOWSMissed an episode of Fast Money? Watch the lastest show here.
TRADE SCHOOLGrab a pencil because school is in session and the Fast Money traders are teaching class.
FAST MONEY PODCASTSDownload Fast Money onto your MP3 Player.
FAST MONEY WIDGETGrab this all-in-one application and get recaps of the show sent right to your desktop or blog.
SHOP FOR FAST MONEY MERCHANDISEGet your game on with Fast Money gear.
FAST MONEY PHOTOS!Check out our scrapbook. These "pix" are guaranteed winners.
NEWSLETTERSign up and receive a recap email every Friday after the show!
FAST MONEY MOBILE ALERTSGet advanced information about the next Fast Money.
Text Size 
 |
The wisdom in the market right now is that a weak dollar provides a tailwind for stocks.
At the risk of sounding like a broken record that’s largely because it drives commodity prices higher. Then, energy shares and natural resource names follow along.
It also benefits multi-nationals as they repatriate profits back into dollars. (They get more dollars for every euro, etc.)
Well, maybe it’s time for the wind to change direction – or to re-think that wisdom. Gary Kaminsky, the former Neuberger Berman managing director says “a stronger dollar does not equal a weaker market.”
And he’s far from alone. In fact, Bespoke research shows that equities do better when the dollar rallies. During the last 5 dollar bull markets the average return on the S&P was 59%.
That’s largely because the stronger dollar signals strength in the US economy. And it generates new sectors of leadership. Typically, the industrials, airlines and retailers all benefit as the dollar gains. And it keeps a lid on prices at the pump – arguably the most important influence of all.
If we are heading into a period of dollar strength, what must you know?
I’d reposition my portfolio with some of the consumer names that benefit such as Proctor and Gamble [PG
Loading...
()
] as well as the airlines that benefit as oil comes down. And I’d consider the UUP [UUP
Loading...
()
], the ETF that tracks the dollar. says Kaminsky.
Especially, if you own energy and commodity related stocks I’d definitely put a hedge on and you can do it with the UUP, Kaminsky adds.
What do you think? We want to know!
- Your First Move For Friday November 27th
- Web Extra: Private Equity, Conviction Buy?
- Pops & Drops: Abercrombie & Fitch, Nucor...
- Giving Thanks: Seymour
- Your Questions About... Alcoa & The Dollar
- Best Wishes Regis
- Gartman's Annual Rules For Trading
- Chartology: December Outlook
- Holiday Toy Trades
- Steepest Black Friday Discounts, Revealed
______________________________________________________
Got something to to say? Send us an e-mail at and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment but not have it published on our website send those e-mails to .
Trader disclosure: On October 28th, 2009, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Seymour Owns (AAPL), (BAC), (BX), (EEM), (INTC), (MSFT), (FXI); Najarian Owns (BX) Call Spread; Najarian Owns (EXPE) Calls
Najarian Owns (GE) Calls; Najarian Owns (LAZ) & (LAZ) Puts; Najarian Owns (MYL); Najarian Owns (RIMM) Call Spread; Najarian Owns (YHOO) & (YHOO) Puts; Terranova Owns (IBM), (QCOM), (GS); Finerman Owns (PDE), (TGT), (WMT), (BAC); Finerman's Firm Owns (BAC) Preferred; Finerman's Firm Owns (PDE), (PBR), (RIG); Finerman's Firm Is Short (IJR), (MDY), (SPY), (IWM), (USO), (UNG);
For Deborah Weinswig
Citi Owns (TGT)
Citi Has Received Compensation for Investment Banking from (TGT)
(TGT) Has Been A Client Of Citi in the Past 12 Months
Citi Has Acted As Manager Of An Offering of Securities of (WMT)
Citi Has Received Compensation for Investment Banking from (WMT)
(WMT) Has Been A Client Of Citi in the Past 12 Months
Citi Is Market Maker in Shares of (WMT)
For Rich Repetto
Sandler O'Neill Expects To Receive Compensation from (CME)
Sandler O'Neill Expects To Receive Compenation from (NYX)
For Brian Kelly
Kelly Owns (QCOM)
Kelly Owns (ORCL)
CNBC.com with wires
Data is a real-time snapshot *Data is delayed at least 15 minutes