Even the top part is not innocuous when it’s vaccines they say they “can’t” do.

That’s what dying is!

It’d make more sense to nuke Ukraine as they have no way to retaliate.

Aren’t the consoles loss-leaders to lock you into their platform? I don’t see how Valve can be expected to match that price range.

Yeah, he definitely seems pretty sanguine about it.

That’s what they’d like to do, but AI shows no sign of ever being able to do that effectively.

The AI hype is having real effects on our economy. The AI productivity gains are not.

Seems like a hell of a time to jump on that particular bandwagon.

The inch/cm analogy only works if the conversion rate is fixed. Currencies aren’t like that. Their conversion rates change over time. That changing conversion is part of the return when you compare countries. That’s why you need to put everything in one currency first, then calculate the percent change.

Your analogy actually proves my point: if the ‘inch’ changes relative to the cm over time, then you’d have to convert all measurements to one unit before comparing how fast trees grow, even though the percent growth itself is unit-free.

Both titles are accurate.

Even for people living in the country, local-currency returns can be misleading. If your stock goes up 10% but your currency falls 15%, your global purchasing power is down. That’s why exchange rate-adjusted returns matter whether you’re local or international. It measures your real return.

Whether the post fits in this community or not, idk, but the comment I replied to asked an economic question about exchange rates.

If you want to have a graph that shows the return on stocks across countries, which is what the title indicates, you have to convert everything to a single currency before calculating the percent changes. It doesn’t matter which currency you choose either. It would make no sense to compare the percent changes without this conversion as then you wouldn’t be measuring the real rate of return for the assets in each country.

Thinking of it as an internal thing doesn’t make much sense to me as the graph draws a comparison across countries.

I don’t understand how my point is out of place. I’m addressing the original question about whether exchange rates need to be accounted for.

When you compare different countries, you have to look at returns in one currency. Otherwise the numbers aren’t comparable. FX moves are just part of the real return from a global perspective.

Put another way, suppose an American buys an Argentinian asset and then Argentina experiences 1000% inflation but the price of the asset goes up 900%. Are you telling me that you think the Argentinian stock market is doing great? The point of using the same unit across countries is to avoid this issue.

Yeah, but changes in exchange rates are part of the return of the asset. If I buy a Spanish stock from the US and the Euro appreciates then that means the Spanish stock performs better from a global perspective.

You can’t compare countries in different currencies. Picking one numeraire is what makes it apples-to-apples, and FX is part of the real return.

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Denominating everything in the same currency accounts for it.

Kinda. The woman you’re helping is your teacher who has a crush on you and an alcohol problem.

Why? Are they unable to vote on other matters if there isn’t a budget?

Clucks menacingly

True but as long as the filibuster exists (and I don’t think it will go away), legislation requires democratic consent to go forward.

I think Dems should not pass any legislation while the administration ignores the laws that already exist.