Strong Dollar - The Meaningless Debate

10 Reasons Not to Worry

1.  Little positive correlation between strong equities and strong dollar.

2.  "King dollar" was not the story during credit crisis that took EUR back to $1.25.

3.  Dollar sell-off began in March with equity bottom and commodity "reflation."

4.  China diversifying reserves is an old story whose time has come.  Will get priced in slowly.  No panic here.

5.  Bailouts, Deficits, Inflation-Oh My! Generational, systemic crisis needs quantitative easing, more than economy needs fiscal restraint.

6.  Global economy needs U.S. economic vitality more than U.S. needs a strong dollar.

7.  Can't have BRIC/EM growth without risk appetite in other major currencies.

8.  Truth is that EU is in no better shape right now-the euro is not going to $1.75, but if it did, we'll adapt quite well.

9.  Oil-the other gold-and commodities in general are the best inflation hedges.

10. U.S. not a perfect economy, just the best and only game in town.  It's all relative in a global economy of fiat currencies and wealth driven by productivity innovation.