Stocks, and currency risk There is always a currency risk in the markets because if the dollar rises stocks are more valuable and if the dollar falls they are less so. This sell off is a result of Bush needing factory jobs to be re-elected, the driving force of every president. Bush will do whatever it takes and getting all currencies to "float" means the yen has to go up. The real target is the Chinese currency. Sooner or later the Japanese will decide that China is the real power in Asia and will join in whatever the Chinese want to do. Japan has a history of "joining" rather than playing one nation off against another. They were very early to join with Nazi Germany back in the 40's because they sensed a winner and they were with the Allies in WWI for the same reasons. They have supported their currency by buying huge amounts of Treasury Bonds and this is now a worry. Our account deficits of $1.5 billion PER DAY is not sustainable. You won't be hurt if you follow signals and have your stops already in the market.