What is the best pure play to short the $USD? I already own the GLD for the long term and I'm looking at a pure play short on the $USD aside from the actual FX contract
You can get the currency weightings of the $USD off of the NYBOT. Then you could go long a basket of the currency ETFs and use the same weightings. http://www.currencyshares.com/home/CurrencyShares.rails Keep in mind that both your GLD holding and the currency ETFs have no long-term capital gains benefit, no matter how long you hold them. Keep them for years and you'll still be subject to short-term tax rates when you sell.
that is why the us$ index futures are the best, 60/40 tax benefit. plus you don't have to make multiple trades and commish's.
Long AUDUSD. One rate swap I expect will widen, and you're exposed to the aussie natural-resource economy.
that is why the us$ index futures are the best, 60/40 tax benefit. plus you don't have to make multiple trades and commish's. Does any one have a link (URL) to IRS web site regarding 60/40 tax treatment? Thanks.