JP Morgan’s Chief investment Officer is short Euros into fall 2011.He said so publicly today in the WSJ. He predicts EUR to drop to USD 1.20 by the end of August. If the Euro falls further, I found a few plays that stand to benefit.
Natuzzi, S.p.A (NTZ)
A high-end furniture designer with 430 galleries worldwide. I was in Singapore and Tokyo over the holidays, and I swear I saw 10 stores between the two cities. So they make their money in non-Euro currencies, and to the affluent.
Carnival PLC (CUK)
The cruise and vacation tour operator is London based, and makes its money off cruises in Hawaii, Alaska, Bermuda, Canada/New England, the Panama Canal, and South America. They have some European business, and has operates three cruise ships in the Spanish market, but is well diversified and has the lions share of its business well outside the Euro Zone.
(Click here for the cool interactive feature at HiddenLevers)
Use HiddenLevers to generate investment ideas based on where you think the Euro, or dozens of other economic indicators, are headed. You can also measure the effect of an economic trend on your portfolio. Create a portfolio, drag the Euro lever to 1.20, and see how it affects all your stocks and ETFs. (subscription required)
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