Actually, some countries with fairly strong economies recently cut interest rates, as their currencies are very strong. Once the effects of those rate cuts are absorbed by the currencies, those countries stock markets might be nice investment opportunities, either through targeted mutual funds or ETFs.
I could not disagree more strongly with jg. It’s one thing to be on the sidelines; it’s an entirely different matter to jump into a highly leveraged bear fund. There has been no attempt to dry up liquidity, and the supply of equities has contracted dramatically. If you want to go short, targeting your shorts, that may be a better bet at this point if higher interest rates limit the risk to shorts/puts of private equity buyouts. But buying into a leveraged inverse fund to short an index? No way.
