New USD MEMO - memo on the new usd currency PDF

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memo on the new usd currency...

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MEMO Date: May 16, 2020 To: From: RE:

USD Prices are Forecast to Rise 5% Over the Next 3 Months

We are tracking stock prices. Based on our research, we forecast USD prices to rise 5% over the next 3 months based on the following factors: competitive treasury yields in developed markets, decreasing inflation expectations, and economic growth as the country reopens. Therefore, we recommend the following 36 trades: Indexes (3)

ETF (3)

Stock (5)

● Buy Forwards

● Buy on Margin

● Buy on Margin

● Buy Futures

● Buy Calls

● Buy Calls

● Buy Calls on Futures

● Write Puts

● Write Puts

● Write Puts on Futures Trades: Tickers:

12 DXY USDX,

9

15

UUP, USDU, RFUN

MSFT, TGT, AMZN, CRM, COST

DX

● With places like Germany having negative yields, and Japan now having 0.10 on their ten-year treasury yield, the United States’ 0.64 ten-year treasury yield, is an attractive return for developed markets and will attract capital inflow from foreign countries to the USD, which is why the USD has been in an upward trend as shown by the DXY index. ● With the economy at a standstill, there is only potential for economic growth as the country reopens. ● Inflation expectations are in a downward trend, falling 56 bps year-to-date.

Total Trades:

36

We are tracking stock prices. Based on our research, we forecast USD prices to rise 5% over the next 3 months based on the following factors: competitive treasury yields in developed markets, decreasing inflation expectations, and economic growth as the country reopens. Therefore, we recommend the above 36 trades....