The New Currency ETFs Are Trading

Roger Nusbaum submits: The new Rydex currency ETFs began trading Monday. At this point I believe I am most favorably inclined to Sweden (FXS). It has a current account surplus, GDP growth has been getting better, the Riksbank has recently started a tightening cycle and Sweden is not overly dependent on the US the way that Canada and Mexico are.

The Swiss franc (FXF) has some of the same appeal but I perceive Sweden's economy to be more vibrant. I am very fond of Australia but they have a big current account deficit. I think the British pound holds some appeal but their MPC does not seem like it will raise rates, certainly not with the same visibility as Sweden.

If the product line proves successful, my hunch would be that they roll out trusts for the Yen and the Singapore dollar.

Here are the new currency ETFs:

Australian Dollar Trust (FXA)
British Pound Sterling Trust (FXB)
Canadian Dollar Trust (FXC)
Mexican Peso Trust (FXM)
Swedish Krona Trust (FXS)
Swiss Franc Trust (FXF)