Category: US Dollar
The analysis published under this category are as follows.
Monday, May 20, 2013
The Feds Are Worried About the U.S. Dollar / Politics / US Dollar
By: Paul_Craig_Roberts
Over the past month there has been a statistically improbable concurrence of events that can only be explained as a conspiracy to protect the dollar from the Federal Reserve’s policy of Quantitative Easing (QE).
Quantitative Easing is the term given to the Federal Reserve’s policy of printing 1,000 billion new dollars annually in order to finance the US budget deficit by purchasing US Treasury bonds and to keep the prices high of debt-related derivatives on the “banks too big to fail” (BTBF) balance sheets by purchasing mortgage-backed derivatives. Without QE, interest rates would be much higher, and values on the banks’ balance sheets would be much lower.
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Friday, May 17, 2013
US Dollar Ends Another 9 Year Down Cycle / Currencies / US Dollar
By: Ashraf_Laidi
Recent rallies in Non-USD currencies resulting from poor US data have not lasted long. And those rallies resulting from strong US figures via the indirect effect of rallying equities (risk-on) have not lasted either. Broadening pro-USD sentiment may stay for longer than we had thought as the US dollar index has exited from another 9-year down cycle.
Friday, May 17, 2013
Dollar Crisis, the Coming Collapse of US Global Hegemony / Currencies / US Dollar
By: Pravda
Colin Todhunter writes: The US is bankrupt. Yet Uncle Sam continues to stride the world stage and can simply print more money to get by because the dollar is the world's reserve currency. Remove it as the reserve currency, and the US will no longer be able to remain supreme or fund its wars by relying on what would then be a worthless paper currency. Today, more than 60 percent of all foreign currency reserves in the world are in US dollars, and the US will attempt to prevent countries moving off the dollar by any means possible.
Wednesday, May 15, 2013
Don't Bet Against a Surging U.S. Dollar / Currencies / US Dollar
By: Money_Morning
Ben Gersten writes:
In the midst of a brewing currency war, Japan's out-of-control monetary policy has caused the yen to fall to an almost five-year low against the U.S. dollar.
With an economy one-third the size of that of the United States, Japan has committed itself to a fiscal program that's almost double the U.S. Federal Reserve's current $85- billion a month stimulus.
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Wednesday, May 08, 2013
USD Index Forming A Bullish Reversal Pattern / Currencies / US Dollar
By: ForexPros
The USD index reversed higher last week from 81.32. This appears to be a first impulsive structure that is part of a larger and new bullish cycle for the dollar.Read full article... Read full article...
Wednesday, May 01, 2013
Warning U.S. Dollar Collapse Underway, Massive Shortages in Gold and Silver / Currencies / US Dollar
By: Toby_Connor
I've been pointing out for several months now that the recent rally in the dollar was a mirage, an illusion generated by the yen, euro, pound, and Canadian dollar all dropping into yearly, or intermediate cycle lows together. This selling pressure in the four major currencies that make up the dollar index spawned what looked like a strong dollar.
Wednesday, May 01, 2013
The Rising U.S. Dollar Myth / Currencies / US Dollar
By: Axel_Merk
Year-to-date, the U.S. dollar is up; does that mean we are in a rising dollar environment? Or is it an opportunity to diversify out of the greenback?
Sunday, April 28, 2013
GBP/USD Corrective Rally Could Extend To 1.56 / Currencies / US Dollar
By: ForexPros
The GBP/USD finally broke higher on Thursday, after a recent unsuccessful push through the lower support line connected from early March lows. Notice that the pair closed well above 1.5407 trend-line on Thursday, which sets a stage for a new impulsive rally, now towards the 1.5500/1.5600 area.
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Friday, April 19, 2013
U.S. Dollar and Assets - America’s ‘Exorbitant’ Privilege Will Continue / Currencies / US Dollar
By: Richard_Mills
In July 1944, delegates from 44 nations met at Bretton Woods, New Hampshire - the United Nations Monetary and Financial Conference - and agreed to “peg” their currencies to the U.S. dollar, the only currency strong enough to meet the rising demands for international currency transactions.
Member nations were required to establish a parity of their national currencies in terms of the US dollar, the "peg", and to maintain exchange rates within plus or minus one percent of parity, the "band."
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Wednesday, April 17, 2013
U.S. Dollar DownTrend Confirmed / Currencies / US Dollar
By: Toby_Connor
Just another quick post tonight. As I have been saying for over a year now, the dollar will not make new highs, and it will collapse as the consequences of QE infinity ultimately take their toll.
Today the dollar confirmed that an intermediate degree decline has begun by closing strongly below the previous daily cycle low. A new pattern of lower lows and lower highs has now begun. (Although the dollar is due for a bounce sometime soon, but it should fail to make new highs and quickly continue the pattern of lower lows and lower highs.)
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Tuesday, March 26, 2013
Say Goodbye to the Purchasing Power of the Dollar - Bernanke Goes to Crazytown / Currencies / US Dollar
By: Adam_Taggart
On a long solo car trip last week, I listened to several podcasts to pass the time. One was a classic: The Invention of Money, originally released by NPR's Planet Money team back in January of 2011. I highly recommend listening (or re-listening) to it in full.
The podcast is an effective reminder of how any currency in a monetary system is a fabricated construct. A simpler way to explain this is to say it has value simply because we believe it does.
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Monday, March 25, 2013
The U.S. Dollar and the Real Inflation Story / Currencies / US Dollar
By: Toby_Connor
I can’t tell you how many talking heads I've watched in the media recently touting the strong dollar. Sometimes I really wonder whether Homo sapiens are an intelligent life form. Remember, this is the same species that created the Tulip mania … and the tech, and real estate bubble.
Folks, in the real world it just isn't possible to have a strong dollar if you are counterfeiting 85 billion of them a month. That’s just basic common sense, which seems to be an extremely rare commodity in the world today.
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Saturday, March 23, 2013
U.S. Dollar Fiat Cliff / Currencies / US Dollar
By: Joseph_Russo
I would like to start this piece by recommending a rather thorough and viable chart study of the US dollar by an analyst writing under the pseudonym Rambus, titled Dollar Bears Prepare to Hibernate. Rambus has produced some excellent charts in this piece along with sound analysis, and in my view, provided readers with valuable information and insights.
It is my hope that Rambus and the readership at large will not mind if I attempt to add another layer to his cogent work.
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Monday, March 18, 2013
U.S. Dollar Bears Prepare to Hibernate / Currencies / US Dollar
By: Rambus_Chartology
Today I would like to show you the Chartology of the US Dollar based on charts from the short term to the very long term that are painting a positive picture for the US Dollar. What I’m seeing on the charts is not going to be just a short term event type thing but a longer multi year positive change for the dollar. Understanding the movements in the dollar can help us understand other movements in other areas of the markets which is very important to getting the big picture right. If you can get the big picture and trend right that goes along way in knowing which side of the market to be on. In a bull market you want to trade with the uptrend and when your in a bear market you want to trade with the downtrend. This is simple to understand but much harder to do in practice. So with that said lets take a good long hard look at the US dollar and see what the charts are telling us.
Thursday, February 21, 2013
Fiat U.S. Dollar Approaching Resistance In Middle Of Trading Range / Currencies / US Dollar
By: Michael_Noonan
The best thing about reading developing market activity is that it leads you to a logical conclusion, and when things are not clear, that too, is a logical conclusion, saying: No edge, stay away. Because charts are the visual form of final decisions made by all participants, we are getting the best source for collective thinking about a market's direction. What we get to do is read what message the market is sending.
It is always important to put the market into a context. Many traders are eager to "catch the next move," often based upon a myopic view of price behavior. Most who look at charts view the daily and intra day, looking for the next winner, often getting another loser. Here is a current daily:
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Monday, February 11, 2013
Forex Fiat U.S. Dollar Index – Charting Imagination / Currencies / US Dollar
By: Michael_Noonan
Federal Reserves Notes, [FRNs], are not "dollars," despite the purposefully deceptive mislabeling of them, [mis]using that noun. FRNs are commercial debt instruments, issued by the privately owned Federal Reserve Bank whose owners are responsible for the largest Ponzi scheme [un]known to man. Some get it, the vast majority do not.
[For those incapable of dealing with facts that shake their reality, you can skip to the charts, below, or just skip this commentary in its entirety. The Rothschild Formula, what we call the Great Ponzi Scheme, is unraveling.]
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Tuesday, January 29, 2013
Is the Fed Doping the Greenback? / Currencies / US Dollar
By: Axel_Merk
For seven years Ben Bernanke has played Master of the Universe, that is, has been Chairman of the Federal Reserve (Fed). Bernanke vehemently denies his actions put the US economy at risk. Au contraire, having prevented the US economy's collapse, the Fed's actions have yielded profits to taxpayers. Naysayers lament money doesn't grow on trees, value can't be created through the printing press.
Sunday, January 27, 2013
The Fed’s Plan B - "We're Going to Kill the Dollar" / Politics / US Dollar
By: Mike_Whitney
How do you solve a problem when you’re running a 10% fiscal budget deficit? You are not going to get growth without private sector credit demand. The government’s idea right now is that we’re going to export our way out of this, and when I asked a senior member of the Obama administration last week how are we going to grow exports if we will not allow nominal wage deflation? He said, “We’re going to kill the dollar.” Kyle Bass interview.
Thursday, December 27, 2012
Comex Pressure Point, The Coming Isolation Of The US Dollar / Currencies / US Dollar
By: Jim_Willie_CB
The typical human reaction to any infection, vermin, danger, or toxicity is to stand back, to isolate the agent, to trap it, to prevent its further spread or release, then to remove it in a safe secure way if possible using trained professionals. Eventually decisions must be made on the level of acceptable risk on the removal, like what is willing to be lost or damaged or killed in the process. Risk analysis, cost trade-offs, and minimization decisions must be evaluated and executed. The toxic agent in global trade, global banking, and global bond market is the USDollar. In 2009, the Jackass began making a certain firm point. Those nations that depart from the entire USDollar system early will be the leading nations in the next chapter, with stronger foundations, richer solvency, emerging economies, healthier financial markets, efficient credit engines, growing wealth, stronger political helm activity, and better functioning systems generally. Imagine a contaminated blood system that infects, corrupts, and destroys all interior organs from the spread of the toxin.
Thursday, December 13, 2012
US Dollar Index Very Long Term Chart - A Rake's Progress / Currencies / US Dollar
By: Jesse
Here is an end of year update on the very long term US dollar chart, la douleur du monde.
As a reminder, this is a chart based on the DX dollar index.
That index is woefully out of date with the progress of the world economy and the currency wars with their competitive devaluations and rising currencies of the developing nations.
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Tuesday, December 11, 2012
Dissecting the US Dollar, Biotech – The Next Major Bull Market After 2020 / Currencies / US Dollar
By: David_Petch
Sometimes a very simple picture can replace 1000 words, so as such, this brief update will illustrate what is driving the market. There was a minor shooting star doji put in place yesterday, which suggests weakness into the start of next week before starting to rise towards 81.5. Other charts that will be presented on Wednesday will illustrate that the coming top will be just that and in the process, create a setup for a very sharp decline. After wave [E] completed a long-term triangle, a subsequent cliff-like decline occurred, which appears to take the form of an elongated flat to form wave (A).
Wednesday, December 05, 2012
More Cracks Appear for U.S. Dollar as Reserve Currency / Currencies / US Dollar
By: InvestmentContrarian
Sasha Cekerevac writes: The U.S. dollar has been the world’s reserve currency for decades, but that position might be under attack. With the rising level of U.S. debt, many countries around the world are questioning the position of the U.S. dollar as the reserve currency.
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Wednesday, December 05, 2012
U.S. Dollar Cliff? / Currencies / US Dollar
By: Axel_Merk
As election euphoria settles and the "fiscal cliff" approaches, what are the implications for the dollar? Even as federal deficits may be unsustainable, stocks and bonds are up, and while the dollar may have resumed its long-term downward trend, the greenback has hardly fallen off a cliff. We look at how different tax policies might affect the U.S. dollar.
Thursday, November 08, 2012
Cost of Presidential Campaigns Show Big Problems for the U.S. Dollar / Currencies / US Dollar
By: William_Bancroft
There has been much discussion recently about the growing cost of running to be President of the United States. The Presidency has been described as the ultimate recession proof commodity. Others might tell you it’s just the price to climb aboard and loot the good ship America.
Whatever is true, the dollar cost of getting into the Oval Office has been rising at a stunning pace, and this is no new phenomenon. Interestingly though, the cost in gold ounces of running for office has not been rising nearly so fast.
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Thursday, November 08, 2012
U.S. Dollar Technical Analysis and Trend Forecast 2013 / Currencies / US Dollar
By: David_Petch
No surprise, Barrack Obama handily one the US election, which means that with silly season over, they voted the same rascals back into the White House instead of a different batch of rascals. In the end, Mickey Mouse or the Pope could have been stuck into power in the US, the fate of the currency was baked in the cake a long time ago and we are simply following the cycle path. Today's update will provide some clarity regarding the US Dollar Index, as the developing pattern is somewhat recognizable (Refer to Figure 7).
Wednesday, October 31, 2012
Fiscal Cliff's Biggest Surprise Could Be a Rising U.S. Dollar / Politics / US Dollar
By: Money_Morning
Keith Fitz-Gerald writes:
My grandmother Mimi had a saying that was as blunt as it was uncouth. "When the stuff hits the fan," she used to say, "it will not be evenly distributed."
This one came up often when she sensed that world events were about to take a turn for the worse.
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Wednesday, October 31, 2012
U.S. of A(sia) United to Weaken the U.S. Dollar?! / Currencies / US Dollar
By: Axel_Merk
Our leaders want a weaker dollar and a stronger Chinese renminbi (RMB). That’s our assessment based on recent comments by President Obama, presidential hopeful Romney and Federal Reserve (Fed) Chair Bernanke. If you join them in that call, OK, just be careful what you wish for, or at least consider taking action to protect your portfolio.
Tuesday, October 09, 2012
What to Expect When U.S. Dollar Reign Comes to an End / Currencies / US Dollar
By: Money_Morning
Martin Hutchinson writes:
Lloyd Blankfein has got it all wrong again.
Speaking last week, the Chief Executive of Goldman Sachs (NYSE: GS) claimed that if the "fiscal cliff" of tax increases and spending cuts go into effect on January 1, the U.S. dollar would lose its reserve currency status.
As the Vampire Squid's representatives often do, Blankfein actually has it backwards.
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Wednesday, October 03, 2012
The Fed Plays All Its Cards, Road Map for Currency Debasement / Currencies / US Dollar
By: Peter_Schiff
There never really could be much doubt that the current experiment in competitive global currency debasement would end in anything less than a total war. There was always a chance that one or more of the principal players would snap out of it, change course and save their citizenry from a never ending cycle of devaluation. But developments since September 13, when the U.S. Federal Reserve finally laid all its cards on the table and went "all in" on permanent quantitative easing, indicate that the brainwashing is widely established and will be difficult to break. The vast majority of the world's leading central bankers seem content to walk in lock step down the path of money creation as a means to economic salvation. Never mind that the path will prevent real growth and may ultimately lead off a cliff. The herd is moving. And if it can't be turned, the only thing that one can do is attempt to get out of its way.
Wednesday, September 26, 2012
Death Knells For The US Dollar, Gold Price Ready To Explode Upward / Currencies / US Dollar
By: Jim_Willie_CB
The recent decision by the US Federal Reserve to contaminate the financial body until it responds favorably was the last straw in my book. Witness a declaration of permanent QE and hyper monetary inflation of the most virulent strain, unsterilized. The USFed is essentially admitting failure. The signal serves as the loudest death knell for the USDollar among many in a sequence. On a similar parallel note, lighter and more humorous, one might be reminded of the pirate swash buckling style of yelling at the swabbies that the beatings will continue until morale improves. The QE bond monetization of USGovt debt has turned viral and entrenched. It is sold as stimulus, when in fact it acts like a giant wet blanket on the USEconomy. It is intended as stimulus to businesses, but the effect is felt on the financial speculation and on Asian direct business investment. In the past the emergency lever device had been successful only because it was used on a temporary basis. But now the USFed high priest assures it is a permanent fixture, a sign of their failure. The public is too ignorant to comprehend the ruin. They can only see the threat to their personal ruin.
Wednesday, September 19, 2012
Fed to Debase U.S. Dollar? / Currencies / US Dollar
By: Axel_Merk
Is the Fed’s goal to debase the U.S. dollar? The Federal Reserve’s announcement of a third round of quantitative easing (QE3) might have been the worst kept secret, yet the dollar plunged upon the announcement. Here we share our analysis on what makes the FOMC tick, to allow investors to position themselves for what may be ahead.
Thursday, September 13, 2012
US Dollar Technical Analysis and Forecast, the Fate for Gold / Currencies / US Dollar
By: David_Petch
The following article was presented to the benefit of subscribers on September 12th, 2012. Rather than mimic a few previous articles I have penned, this one will focus on technical analysis of one Index, with interspersed commentary fitting to what is observed. The most interesting part I found from all of the analysis is how well the Elliott Wave pattern of the US Dollar Index matched initial expectations. At the end of the article, it is hoped that the reader has a better understanding of how economic situations unfolding over the next 8-12 months are going to ultimately hinge on the path of the US Dollar.
Thursday, September 13, 2012
U.S. Dollar: Don't worry, be happy / Currencies / US Dollar
By: Axel_Merk
May we suggest a Twitter version of today's FOMC statement: "Don't worry, be happy! " – No, the economic outlook hasn't improved. In fact, the Fed may want you to take a valium to stomach the ride ahead. Alternatively, if you don't get mollified by the Fed's "communication strategy", you may want to consider taking action to protect the purchasing power of your hard earned dollars.
Tuesday, September 04, 2012
Ron Paul, How Long Will the U.S. Dollar Remain the World's Reserve Currency? / Politics / US Dollar
By: Dr_Ron_Paul
We frequently hear the financial press refer to the U.S. dollar as the "world's reserve currency," implying that our dollar will always retain its value in an ever shifting world economy. But this is a dangerous and mistaken assumption.
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Sunday, August 26, 2012
The US Dollar, the World's Controller / Politics / US Dollar
By: Pravda
The administration of Britain's Standard Chartered Bank has been accused of violating U.S. laws this week. The bank allegedly concealed illegal operations with Iranian financial institutions in circumvention of U.S. sanctions against Tehran. How can one accuse a non-US company of violating U.S. law? It can be possible due to the use of dollars in settlements.
Thursday, August 23, 2012
Expect Stronger U.S. Dollar, More Volatility Heading into September / Currencies / US Dollar
By: Elliot_H_Gue
Recent economic data unambiguously shows that the European Union (EU) has slipped into a recession, with little sign that a turnaround will occur soon. In fact, with most European countries facing additional rounds of fiscal austerity, the EU economy is poised to get worse before it eventually finds its footing.Read full article... Read full article...
Monday, July 23, 2012
Rising U.S. Dollar Forces Bernanke’s Hand / Currencies / US Dollar
By: Michael_Pento
Could it be that world governments and central banks are now taking drastic measures to re-inflate their economies because they don’t believe their own economic statistics? For example, China reported that GDP growth came in at 7.6% last quarter. That’s slower growth, but still not so bad. However, China’s electricity consumption has slowed much faster than growth in official GDP (electricity generation was unchanged in June from a year earlier at 393.4 billion kilowatt-hours), when they normally move in tandem. Turning to the U.S., the Labor Department announced last week that initial jobless claims fell 26k to 350k. Sounds great…but wait. Digging into the unadjusted data, there was actually an increase of 69,971 claims for the week—an increase of 19% from the week prior. Now that’s some seasonal adjustment!Read full article... Read full article...
Wednesday, July 11, 2012
Gold to Outshine U.S. Dollar? / Currencies / US Dollar
By: Axel_Merk
As the price of gold has gone up fivefold over the past 10 years, why would one buy it at today's prices? For the same reason an investor would buy any other asset: if one believed it would be a good investment now, that is if one believed it may appreciate in value and add portfolio diversification benefits. A key reason to hold gold today might be to prepare for the crisis tomorrow.
Thursday, June 28, 2012
US Dollar: Wave Counts, Flight-to-Safety? / Currencies / US Dollar
By: Joseph_Russo
In light of how political systems have so utterly ruined the purpose and utility of the modern worlds essential and fungible units of exchange, and despite the oxymoron in our alluding to a flight-to-safety, we shall nonetheless endeavor to add a meaningful level of clarity to the disposition of the US dollar.
Friday, June 08, 2012
Strong U.S. Dollar Fallacy / Currencies / US Dollar
By: Zeal_LLC
After a shocking upset in Greece’s parliamentary elections, the US dollar surged dramatically. Soaring 5.4% in May alone, the world’s reserve currency won legions of fans among traders. “King Dollar” was universally lauded, with everyone jumping on the strong-dollar bandwagon. But this dazzling strength was merely a short-term phenomenon. Zoom out a little, and today’s “strong dollar” is a fallacy.
Thursday, June 07, 2012
What's Next for the U.S. Dollar? QE3? / Currencies / US Dollar
By: Axel_Merk
The dismal U.S. jobs report for May, released last Friday, caused the price of gold to soar as the market appears to be pricing in an ever-greater chance of "QE3" - another round of quantitative easing by the Federal Reserve (Fed). But given that 10-year government debt is already down at 1.5%, the Fed may dive deeper into its toolbox in an effort to jumpstart the economy. Investors may want to consider taking advantage of the recent U.S. dollar rally to diversify out of the greenback ahead of QE3.
Wednesday, June 06, 2012
Reasons Why the U.S. Dollar is Really Rising / Currencies / US Dollar
By: Money_Morning
Keith Fitz-Gerald writes:
By all accounts, the U.S. dollar should be the functional equivalent of a Zimbabwean bill.
The Fed has pumped trillions into the worldwide financial system as part of misguided stimulus efforts that should be incredibly inflationary.
Yet, instead of a disastrous repeat of the Weimar Republic, the U.S. dollar has strengthened considerably.
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Friday, June 01, 2012
China and Japan Abandon U.S. Dollar as a Means of Trade / Currencies / US Dollar
By: Julian_DW_Phillips
In the next month China and Japan (China's main trading partner) will no longer use the U.S. dollar as the only currency in trade with each other. They will use the Yuan and the Yen directly with each other. This will see the dollar removed from a large chunk of the world's trade -in itself, not a very large percentage, but a significant one. It's the start of a trend that is set to grow. We've no doubt that China is tailoring its trade with all its trading partners to use the dollar only so far as it is required to deal with the U.S. and other dollar-dependent nations. Oil from Russia utilizes the Yuan and Rouble, and Australia has arranged a similar deal.
Wednesday, May 30, 2012
Reform of US Monetary System: Message of 12 Year Old Goes Viral / Politics / US Dollar
By: Ellen_Brown
The youtube video of 12 year old Victoria Grant speaking at the Public Banking in America conference last month has gone viral, topping a million views on various websites.Monetary reform—the contention that governments, not banks, should create and lend a nation’s money—has rarely even made the news, so this is a first. Either the times they are a-changin’, or Victoria managed to frame the message in a way that was so simple and clear that even a child could understand it.
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Monday, May 07, 2012
U.S. Dollar and Manipulation Control the Stock Market / Stock-Markets / US Dollar
By: Chris_Vermeulen
Over the weekend I had an interesting conversation with a local trader. We typically meet a few times a year to share our market outlooks, new trading tools and techniques, and usually finish our session off in a debate about the US market manipulation and how to trade around it.
Talking about market manipulation always opens up a can of worms and sparks some interesting theories… And while everyone has their own views and opinion on this subject I thought I would briefly share the main points I pulled from our conversation.
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Thursday, May 03, 2012
US Stocks Fight to Hold Up While EU and US Data Give Mixed Signals / Stock-Markets / US Dollar
By: Chris_Vermeulen
Investors and traders just can’t seem to catch a break when it comes to economic news. For example Tuesday in the United States we saw strong ISM manufacturing numbers which surprised the market. The numbers were way above expectations and it triggered a feeding frenzy in US based investments like stocks and the green back.Read full article... Read full article...
Thursday, April 26, 2012
The Fed and their Influence on Gold and the US Dollar, Behind The Curve! / Currencies / US Dollar
By: UnpuncturedCycle
I am not surprised to see that the Federal Reserve on Wednesday stood pat on interest rates and said economic growth will remain moderate over coming quarters and then only pick up gradually. The decision to make no changes was expected. Economists think the Fed will wait for more data before deciding how to proceed next. Recent data, such as the monthly jobs report from the Labor Department, point to a slowing pace of economic growth. In a statement, the Fed announced that it will leave its target range for its federal-funds rate unchanged at 0 to 0.25% — as it has for every meeting since December 2008. The central bank also did not change the forecast that “exceptionally low rates” will be here until late 2014. Richmond Fed President Jeffrey Lacker cast the lone dissent, continuing a trend at all three meetings this year. Lacker, one of the more hawkish regional Fed presidents, has argued against the 2014 rate forecast.
Thursday, April 26, 2012
So Long to the U.S. Dollar / Currencies / US Dollar
By: Marin_Katusa
Marin Katusa, Casey Research writes: There's a major shift under way, one the US mainstream media has left largely untouched even though it will send the United States into an economic maelstrom and dramatically reduce the country's importance in the world: the demise of the US dollar as the world's reserve currency.
For decades the US dollar has been absolutely dominant in international trade, especially in the oil markets. This role has created immense demand for US dollars, and that international demand constitutes a huge part of the dollar's valuation. Not only did the global-currency role add massive value to the dollar, it also created an almost endless pool of demand for US Treasuries as countries around the world sought to maintain stores of petrodollars. The availability of all this credit, denominated in a dollar supported by nothing less than the entirety of global trade, enabled the American federal government to borrow without limit and spend with abandon.
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Thursday, April 12, 2012
The War at the End of the U.S. Dollar / Politics / US Dollar
By: Ron_Hera
The history of the U.S. dollar is closely linked to U.S. involvement in a series of wars. The Bretton Woods Accord and the resulting world reserve currency status of the U.S. dollar were both byproducts of World War II (1939-1945). The Korean War (1950-1953) was followed six years later by the Vietnam War (1959-1975) which led to the end of the Bretton Woods system. Unfettered by the constraint of gold backing after 1971, the U.S. dollar became a weapon in the Cold War (1945–1991) between the U.S. and the former Union of Soviet Socialist Republics (U.S.S.R.). Each war corresponded with an increase in the U.S. money supply. The Gulf War (1990-1991) was followed by wars in Afghanistan, beginning in 2001, and in Iraq, beginning in 2003, and, simultaneously, by the U.S.-led War on Terror that began in 2001. Like the wars that came before them, the recent staccato of U.S. wars is correlated with increases in the U.S. money supply. The Iraq war, for example, is estimated to have cost as much as $4 trillion.
Tuesday, April 10, 2012
The U.S. Dollar Remains the Preferred Choice of Official Foreign Exchange Reserves / Currencies / US Dollar
By: Asha_Bangalore
The IMF’s Currency Composition of Official Foreign Exchange Reserves (COFER) database continues to indicate that dollar remains the preferred reserve currency. In the fourth quarter of 2011, the dollar made up 62.1% of official reserves vs. 61.8% in the third quarter. The dollar accounted for 61.4% of official reserves in 2011 vs. 61.8% in 2010 and 62% in 2009.
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Wednesday, April 04, 2012
Emerging Markets Look to Drop BRICS on U.S. Dollar / Currencies / US Dollar
By: Eric_McWhinnie
On Friday, gold prices increased $17.10 per ounce while silver gained 49 cents. Despite volatile trading for the precious metals, both logged positive gains for the first quarter of 2012. Gold climbed about 6.5 percent and silver surged 16 percent. Both metals continue to receive support as countries around the world weigh financial fears. Reports of a new emerging market bank are highlighting concerns about troubled currencies.
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Tuesday, March 27, 2012
Is the US Dollar Headed for a Major Fall? / Currencies / US Dollar
By: Julian_DW_Phillips
One of the facts of life over the last 40 years has been that the U.S. dollar is the world's sole global reserve currency. This is despite the fundamental factors underlying the U.S. balance of payments, which has been awful over that entire time. Nevertheless, the dollar ruled the global monetary system through these four decades and appears to be doing so still. But is that coming to an end? Next week there is a meeting of the BRIC nation over the use by the U.S. of the SWIFT system to block Iran from selling its oil. The BRIC nations are buyers of that oil. Their views on Iran's nuclear policies do not go as far as refusing to buy their oil. The SWIFT system is the system used to make international payments and covers most acceptable currencies.
Monday, March 26, 2012
Can Bernanke Break the U.S. Dollar Rally? / Currencies / US Dollar
By: Toby_Connor
In response to a bursting real estate and credit bubble in 2007 Bernanke's solution was to crank up the printing press and flood the world with dollar bills. Unfortunately it didn't solve our problems, it only made them worse. The real estate and credit bubbles stayed busted, but that liquidity had to land somewhere. In 2008 it went straight into the energy and agricultural markets spiking the price of crude, gasoline and food. This in turn collapsed a fragile global economy that was already reeling from the real estate implosion. The end result was the exact opposite of what Benjamin intended. Instead of halting the real estate collapse he just magnified the severity of the recession.
Wednesday, March 21, 2012
Falling U.S. Treasury Bonds, A Currency Perspective / Currencies / US Dollar
By: Axel_Merk
What are the implications for the U.S. dollar and investors’ portfolios if bond prices continue to fall, as they have of late? Within that context, should investors care whether the U.S. retains its status as a “reserve currency”? Should it effect the way investors think about their own cash reserves?
Sunday, February 19, 2012
The US Dollar in the week ahead / Currencies / US Dollar
By: Submissions
Dr. Chad Bennis writes: The rally in the US dollar beginning in November of last year saw a series of higher highs and higher lows in the price of the index. While the price action moved higher the stochastic indicator showed a bearish divergence as each successive higher high in the price action was reflected by a lower high in the stochastic indicator. This is known as bearish divergence and means that the current uptrend in price is getting weaker with each higher high in the price of the index.
Tuesday, January 31, 2012
How U.S. Dollar Value Fit Into the Economy Big Picture? / Currencies / US Dollar
By: EWI
More credit is denominated in U.S. dollars than any other currency. What does this mean for the value of the dollar as the credit crisis continues its strangle-hold on the world economies?
Enjoy this video clip of Bob Prechter from an October interview with The Mind of Money host Douglass Lodmell, in which Bob discusses the debt implosion and the value of the U.S. dollar.
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Sunday, January 29, 2012
U.S. Economy Q4 2011 GDP Trouble Below The Surface / Economics / US Dollar
By: Tony_Pallotta
The release of Q4 2011 GDP highlighted just how close the US economy is to actual contraction as well as how vulnerable it is to the events in Europe. On the surface the 2.8% growth was a nice rebound from the 1.8% growth in Q3 2011.
But like anything if you dig beneath the headline you will see three areas of concern. Interesting that just two days before this release when asked about the recent uptick in economic activity Chairman Bernanke was less optimistic than the reporter asking the question. Apparently he was privy to the soon to be released data.
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Thursday, January 26, 2012
The Broken U.S. Dollar / Currencies / US Dollar
By: Toby_Connor
It has been my theory that this year we would see one of the worst performances by the stock market since 2008. However that has always been dependent on Bernanke not being able to break the dollar's rally out of its three year cycle low. As of this morning the dollar has printed a failed daily cycle. More often than not a failed daily cycle is an indication that an intermediate degree decline has begun.
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Thursday, January 26, 2012
Will Iran Kill the PetroDollar? / Politics / US Dollar
By: Marin_Katusa
Marin Katusa, Casey Research writes: The official line from the United States and the European Union is that Tehran must be punished for continuing its efforts to develop a nuclear weapon. The punishment: sanctions on Iran's oil exports, which are meant to isolate Iran and depress the value of its currency to such a point that the country crumbles.
Tuesday, January 24, 2012
Sovereigns Declare War on US Dollar / Politics / US Dollar
By: Chris_Blasi
Iranian Crisis Evolving into Dollar Hegemony and Western Power Challenge
Profoundly significant news came out of the Middle East on Monday January 23, 2012. The headline via DEBKAfile* reads:
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Monday, January 23, 2012
Bullish Set Up on US Dollar / Currencies / US Dollar
By: readtheticker
The US Federal Reserve meets next week (Jan 24/25) and many are expecting Bernanke to release the next financial QE details. The markets are poised for Ben next market leading action.
Thursday, January 19, 2012
Eye on U.S. Dollar vs Commodity Index / Currencies / US Dollar
By: Mike_Paulenoff
One chart set-up that we need to watch closely in the coming hours and days is the comparison of the dollar and commodity indexes, as their directional price implications could have a major impact on a cross-section of markets.
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Wednesday, January 18, 2012
U.S. Dollar Premature Obituaries / Currencies / US Dollar
By: Professor_Emeritus
It is open season for wild monetary prognostications. More premature obituaries on the dollar have been posted on the Internet. For example, see Jim Willie's The US Dollar Paper Tiger (Gold-Eagle, January 11) with epitaphs like "the U.S. dollar rising to the cemetery", or "dollar death dance". Or see another article, Jeff Nielsen's entitled Maximum Fraud in U.S. Treasurys (Gold-Eagle, January 3). It betrays maximum misunderstanding about keeping the dollar on a life-support system. It assumes that the Fed and the U.S. Treasury are fighting tooth and nail to keep the value of government debt high lest it collapse in want of support from Japan, China, and other countries.
Wednesday, January 11, 2012
U.S. Dollar Threats, the Paper Tiger / Currencies / US Dollar
By: Jim_Willie_CB
Events in the last decade displayed a vigorous effort to defend the USDollar. The rogue nation of Iraq sold crude oil in Euros for three years, until they were liberated. Its tyrant was a scourge to be sure. Weapons of financial mass destruction seem to have replaced the traditional type, the new variety being derivatives, mortgage bonds, and even sovereign bonds from weak nations. Newer weapons from the United States feature extended hands from clearing house fronts that snatch and grab segregated private accounts, and backdoor raids of exchange traded fund precious metal. Let's not overlook the more frontal assault weapons deployed like unseating Qaddafi and capturing his gold held in foreign accounts, along with all that cash. Liberation has its benefits. The confrontation with Iran would be comical if not so dangerous. The claims have been silly in my view for years, in the perception of Iran as a serious threat to the West. They have been subjected to cut communication lines on the Persian Gulf seabed. They have been subjected to Stuxnet viruses to obstruct their nuclear refinement process, via the Siemens rear door. They have been subjected to an influx of heroin from the north, where the USMilitary manages the Afghan situation and locale.
Wednesday, January 11, 2012
U.S. Dollar's Lucky Streak / Currencies / US Dollar
By: Peter_Schiff
Recent U.S. economic data, such as the modest drop in the unemployment rate and the massive expansion of consumer credit, have suggested that the American economy is finally recovering. Opposite conclusions are being thrown at Europe, where many are convinced that recession is returning. Not surprisingly then, the dollar is currently hitting a multi-year high against the euro. The strength of the dollar itself is often held up as one of the major proof points that the U.S. economy is "improving." But the data points that I believe really matter continue to suggest an economy on life support. I believe that the dollar is rising for reasons that have nothing to do with America's economic health.
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Sunday, January 08, 2012
Huh? When the Fed Balance Sheet Expands, it’s actually U.S. Dollar Bullish!? / Currencies / US Dollar
By: Aftab_Singh
If you ever happen to acquire an inclination for being the subject of disrepute and ridicule I highly recommend endorsing the conceit alluded to in the title. Apparently this issue is ‘so obvious’ that even gold bugs and government officials can reach common ground via the contention that I’m deluded. My folly — if you will — is to maintain that dollar debasement can be bullish for the dollar vis-à-vis other currencies at present. Since this long-standing conviction of ours is once again being corroborated by price action in the currency markets I thought I’d attempt to convince you that I’m not completely crazy. Here I outline why dollar debasement is bullish for the dollar against other fiat currencies in this environment.
Tuesday, January 03, 2012
U.S. Dollar Forecast 2012, How to Play A Short-Term Rally / Currencies / US Dollar
By: Money_Morning
Larry D. Spears writes:
The U.S. dollar will start 2012 on an upswing - but don't let it fool you.
What we're seeing is only a short-term rally inspired by Europe's travails. In the long-term, the U.S. Federal Reserve's loose monetary policy and the United States' own debt burden will drive the greenback back down.
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Monday, December 19, 2011
Time for a Two-Month Trade Against the U.S. Dollar / Currencies / US Dollar
By: DailyWealth
I believe gold hit a bottom last week, and I believe it will enter a multi-month rally starting now.
I also believe that the U.S. dollar hit a near-term peak this week, and I believe it will enter a multi-month downtrend, starting now.
Monday, December 05, 2011
US Dollar Technical Update / Currencies / US Dollar
By: Tony_Pallotta
In the coming weeks you will hear me discuss the current trade as a "credit event that equity will be forced to acknowledge." It is important to understand what will drive equity prices. The main stream media will make up "excuses" for price action but I believe as always they will be misguided.
Saturday, December 03, 2011
Euro Dollars - The Great Dollar Overhang and Missing M3 Component - Gold and Silver / Currencies / US Dollar
By: Jesse
These figures are from the Preliminary BIS Reports of November 2011 which reflect reporting bank positions as of the Jun 2011 quarter. Obviously therefore they do not yet reflect the recent Fed expansion of the swap lines for dollars. The first chart represents the total dollars held by banks as 'foreign currency.'
Tuesday, November 15, 2011
U.S. Dollar Teetering on the Abyss / Currencies / US Dollar
By: Toby_Connor
We all better hope I'm wrong on this one, but I think the CRB just put in its three year cycle low in October. I'm also afraid that Bernanke has done irreparable damage to the dollar. If I'm right about both of those assumptions then we are on the brink of a historic inflationary period.
Tuesday, November 08, 2011
Perfect Financial Storm; Eight Reasons to be Bullish on the US Dollar / Currencies / US Dollar
By: Mike_Shedlock
One of my much appreciated contacts is Steen Jakobsen, chief economist for Saxo Bank in Copenhagen, Denmark. Today he passed on an "internal note" that he gave permission to share.
For ease in reading, I will not follow with my usual indented blockquote format.
Tuesday, November 08, 2011
The War that Will Kill the U.S. Dollar / Currencies / US Dollar
By: The_Gold_Report
A war-mongering U.S. government could be less than 18 months away from decimating the last 5% of value left in the dollar, says Richard Maybury, the author of the U.S. & World Early Warning Report. Until some new exchange-traded-fund-like basket of natural resources provides a store of value, this "juris naturalist" has some advice about how to protect your wealth during the coming collapse.
Saturday, November 05, 2011
Dollar/Yen Bullish Digestion Pattern / Currencies / US Dollar
By: Mike_Paulenoff
Although USD/Yen has been trading in a relatively narrow range between 78.40 and 77.80 since mid-session Monday after Sunday evening's BOJ intervention (to sell yen and buy USD), all of the action off of the intervention high impresses me as a bullish digestion period ahead of another up-leg.
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Friday, November 04, 2011
Why Is The USD So Weak / Currencies / US Dollar
By: Tony_Pallotta
With multiple reports of USD shortages including the need for an emergency Fed swap line in September why is it not showing in the DXY? Is the DXY to the USD what the paper market is to the precious metals?
Put yourself back in September 2008. Fannie Mae was bailed out on September 8 followed by Lehman, AIG, etc through September 22. Over that period the DXY falls 5.6%. Think traders were scratching their heads wondering why the USD was so weak? Where’s the fear? Is the USD as a safe haven trade dead?
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Wednesday, October 26, 2011
Bet Against the U.S. Dollar as a Store of Value / Currencies / US Dollar
By: Casey_Research
In this excerpt from the Casey Summit When Money Dies, seasoned resource investor/broker Rick Rule discusses risk management and explains why the greatest risk you face as an investor is located to the left of your right ear and to the right of your left ear.
Wednesday, October 26, 2011
Is Occupy Wall Street A Threat to the U.S. Dollar? / Currencies / US Dollar
By: Axel_Merk
On its face, suggesting that the Occupy Wall Street movement may threaten the U.S. dollar may appear like a tall order. However, simply dismissing Occupy Wall Street as a fad may be a big mistake, just as it is a mistake to dismiss the Tea Party movement. Regardless of your political stance, and with no offense intended to supporters of either group, we believe they may be two sides of the same coin – quite literally. To determine where policy makers and with it, the U.S. dollar, may be heading, it is important to understand that the driving forces behind both movements have common roots.
Thursday, October 20, 2011
U.S. Dollar Index, The Big Picture / Currencies / US Dollar
By: Colin_Twiggs
When markets are volatile it often pays to take a step back and look at the big picture. A monthly chart shows the Dollar Index ranging between 70 and 90 since 2003, with the 80 level alternating as mid-range support/resistance. The index recently pulled back from resistance at 80 and will now either re-group for another attempt or medium-term support will give way, signaling a test of long-term support.
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Wednesday, October 12, 2011
Betting on the Dollar Versus Yen / Currencies / US Dollar
By: Mike_Paulenoff
Rumors are circulating that in an effort to enable its exporters to compete effectively with China, Japanese authorities are considering some sort of currency "peg," perhaps to a basket of currencies, or vis-a-vis the Yuan, or maybe even in part to gold.
In addition, there are currently heated discussions in Congress about declaring China a "currency manipulator," or otherwise coercing China to allow its Yuan to appreciate faster to enable American business to compete more effectively on a global basis.
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Tuesday, October 04, 2011
Bernanke’s Plot To Overthrow the US Dollar / Currencies / US Dollar
By: Bill_Bonner
Where’s the Bastille…?
The Great Correction has a lot of work to do – there are so many things that need correction. And it will take time to do it. Meanwhile, your goal as an investor is to lose less money than everyone else. He who loses least wins!
Stocks should go down. Real estate should go down. Even gold should go down…as the dollar goes up!
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Sunday, October 02, 2011
U.S. Dollar’s Role as International Reserve Currency / Currencies / US Dollar
By: Asha_Bangalore
It is not a surprise the dollar continues to be the preferred official foreign exchange reserve currency but the share shows a gradual decline in the past ten years. The IMF’s Currency Composition of Official Foreign Exchange Reserves for the first and second quarter of 2011 places the greenback’s share at 60.6% of official foreign exchange reserves, down from a high of 71.5% in 2001.
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Tuesday, September 20, 2011
Is the US Monetary System on the Verge of Collapse? / Currencies / US Dollar
By: David_Galland
David Galland, Casey Research writes: Tune into CNBC or click onto any of the dozens of mainstream financial news sites, and you’ll find an endless array of opinions on the latest wiggle in equity, bond and commodities markets. As often as not, you'll find those opinions nestled side by side with authoritative analysis on the outlook for the economy, complete with the author’s carefully studied judgment on the best way forward.
Thursday, September 15, 2011
U.S. Dollar As the World's Reserve Currency. Poor World / Currencies / US Dollar
By: Gary_North
The world's main reserve currency is the U.S. dollar. This is less relevant than most hard-money writers think.
What they never mention is that the U.S. dollar is a more popular reserve currency today than it was in 1995. You can see the evidence here.
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Thursday, September 15, 2011
A Chinese Euro-Save Means Falling Greenback / Currencies / US Dollar
By: Dr_Jeff_Lewis
As we predicted earlier this year, China may use its newfound economic clout to save Europe and diversify away from the US dollar. Seeing as Italy is still in favor with global investors with spreads between Italian and German bonds reasonable, the Italians could strike a formidable deal with the Chinese to push off debt concerns.
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Friday, September 09, 2011
Is the U.S. Dollar King coming to take his Kingdom? / Currencies / US Dollar
By: Capital3X
September continues to rake it in even with all the news flows and volatility attached with it, we have been reasonably successful in keeping our portfolio immune to high volatility. That said, it has not impeded our ability to generate returns.
Thursday, September 01, 2011
Threats to the U.S. Dollar, Illusion Of Stable Currency Vortex / Currencies / US Dollar
By: Jim_Willie_CB
The Jackson Hole Conference was a dud. To the astute student observer, something happened never seen before. The US central bank chief admitted failure, if only people could properly interpret and translate his words of helplessness and disappointment. A more apt description was that USFed Chairman Bernanke used the forum to announce on stage that the central bank failed and is powerless to react to the current lapse into recession. Many watchers no longer believe that a Quantitative Easing chapter #3 will be announced. Surely it will come sooner or later. Watch the USTreasury auctions for the best clue. The QE2 program was about prevention of auction failure, not economic stimulus. A quick review of monetary policy and its effect is horrifying for its utter complete failure.
Wednesday, August 24, 2011
Money Printing, Debt, Dollar Vs Euro / Currencies / US Dollar
By: Axel_Merk
A key reason for recent market turmoil may be the long overdue untangling of important debt-driven interdependencies between the U.S. and Europe. In our analysis, not only has the Federal Reserve’s (Fed’s) ultra-low monetary policy taken away any incentive to engage in meaningful reform in the U.S., but the easy money also spilled far beyond U.S. shores, providing European banks with hundreds of billions of reasons not to shore up their capital bases. With volatility riding high, investors appear to be chasing emotions rather than facts; let’s take a step back, and in an effort to understand where the Fed, the U.S. dollar and the euro might be heading next, let’s focus on facts rather than emotion.
Tuesday, August 23, 2011
U.S. Dollar, the Mother of all Mathemagical Derivatives / Currencies / US Dollar
By: Aftab_Singh
We all think we know the story of the recent ‘bubble in credit’. As the explanation goes; Americans took on too much debt, those debts were ‘packaged up’ into complex financial instruments, those instruments were then bought, sold and ‘re-packaged’ by people who didn’t even understand them, blah blah blah… Even with this cursory and boringly consensual view of recent history, at least people have figured out that they shouldn’t blindly trust the mathemagicians… or have they? Here I ask; what about the king of all derivatives; the one that deviously subsumes all others? Indeed, what about the derivative that even derivative traders assume to be axiomatically fundamental and distinctly not derived?
Saturday, August 20, 2011
Enough Already With the Macho U.S. Dollar / Politics / US Dollar
By: Ian_Fletcher
A strong dollar, like a strong defense or strong democratic institutions, sounds like a naturally good thing. But it's not. A strong dollar is an unwise goal.
I recently had an e-mail exchange with an extremely distinguished conservative commentator-a familiar name to most-who was worrying that the dollar isn't getting the "respect" it used to.
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Tuesday, August 16, 2011
Downward Pressure Builds Again for the US Dollar / Currencies / US Dollar
By: Donald_W_Dony
The 'safe haven' status of the US dollar maybe coming to an end. Normally during times of market corrections, traders run to the American currency for protection. However, during the early August market drop, the big dollar barely moved. Though T-Bill auctions were well bid, there was little increase in demand for the greenback.
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Tuesday, August 16, 2011
Time to Buy the U.S. Dollar? / Currencies / US Dollar
By: Tony_Caldaro
We last reviewed the currencies in early July: http://caldaro.wordpress.com/2011/07/04/foreign-currency-and-usd-update/. Since then, it appears, a lot has changed. The world’s equity markets have entered bear markets, US Bonds have been soaring, commodities have generally weakened, Gold has been making all time new highs, and the Swiss Franc (CHFUSD) has gone parabolic.
Monday, August 15, 2011
UnHappy 40th Birthday for Fiat U.S. Dollar / Currencies / US Dollar
By: Jeff_Berwick
August 15 marks the 40th birthday of the Federal Reserve Note as a completely fiat currency.
On that date, on August 15, 1971, Richard Nixon commandeered the airwaves to announce the closing of the gold window. According to him, this was necessary to protect the US dollar from attacks from the "international money speculators'.
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Sunday, August 14, 2011
Death Star Washington Mulls The U.S. Dollar's End / Politics / US Dollar
By: Andrew_McKillop
What is is not in doubt is that the world's single reserve currency is nearing the end of its viability at
least in its current form. The only other two options, the euro and the yen, are in as bad or worse shape
regarding the fundamentals of the economies they are based on. The end game has arrived for the
current monetary system which began for the US in the 1930s, and for the world with Bretton Woods in
1944. The US sub prime crisis, Japan's Fukushima disaster, and Europe's PIIGS rout are the final nails
in the coffin of the dollar reserve system, which in "gold money" terms already died a long time ago - in
1971 - when Nixon pulled the plug on official and fixed dollar convertibility with gold. This system
was far from ancient and only dated from 1933, with Roosevelt (who pegged the dollar to .888 grams of
gold, or $35 per ounce). This was therefore at maximum a 38-year "gold money interlude", suspended
during the war years and only covering, in fact, about 33 years.
Friday, August 12, 2011
Can Revulsion with the Federal Reserve Note be Sustained over the Weeks and Months Ahead? / Currencies / US Dollar
By: Aftab_Singh
We seem to have reached an intermediate-term extreme in revulsion for the Federal Reserve note. It seems to us that the status quo of the currency markets is highly dependent on the Federal Reserve accommodating the market’s perception of it. Here, I present the usual Federal Reserve balance sheet charts and briefly outline why we continue to anticipate a short-term rally in the dollar.
Thursday, August 04, 2011
The Dollar is the World’s Currency, but the Federal Reserve is America’s Central Bank! / Currencies / US Dollar
By: Aftab_Singh
When considering the dollar’s status as the world’s reserve currency, I cannot help but recall the words of Jim Grant (of Grant’s Interest Rate Observer):
Read full article... Read full article...The dollar is the world’s currency but the Federal Reserve is America’s central bank! Period!
Thursday, August 04, 2011
Fed Given License To Debase U.S. Dollar Further, Gold Strong Breakout / Currencies / US Dollar
By: Jim_Willie_CB
The US Federal Reserve has no monetary options whatsoever. They have been backed into the corner since 2007. It was coerced to reduce interest rates as the subprime mortgage crisis morphed into an absolute bond crisis, as the Jackass loudly stated during that fateful summer. The US bank leaders claimed it was contained. It was not. The USFed was backed into the corner in 2009, unable to raise interest rates from near 0% (the Zero Interest Rate Policy disease) and put into effect its propaganda theme of an Exit Strategy. The US bank leaders knew the longest period of time for the Fed Funds rate to stick at 0% was nine months, ensuring a future disaster. They saw it. They claimed a move toward normalcy. It did not come.
Tuesday, July 26, 2011
U.S. Dollar Default to Change Gold and Silver Markets / Currencies / US Dollar
By: Julian_DW_Phillips
Last Friday we were led to believe that the debt-ceiling crisis would be over by the start of Asia's business on Monday. The weekend has gone and so the deal. The markets are very nervous and beginning to worry that a deal will not be made. This is merely a political game to earn a name because one or the other gives-in first. But the two leaders represent national parties and not themselves; therefore, the sensitivity needed to back down just in time isn't there. The structure of politics doesn't allow it. Not only that, but it takes a few days to implement the ceiling change.
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Wednesday, July 20, 2011
Making the U.S. Dollar Safer: Return ON Your Money / Currencies / US Dollar
By: Axel_Merk
Today’s debate may be focused on whether the debt ceiling will be raised, but it’s tomorrow’s debate that really concerns us. Last week, Standard & Poors made it clear that raising the debt ceiling would be one thing, but in order to withhold a downgrade to the U.S. credit rating, the U.S. must show that it is not “maxed out.” In other words, show that it would be able to manage another crisis, or a potential war. What would be the implications of a credit downgrade? And what policies would need to be engaged in, in order to avert a downgrade and strengthen the U.S. dollar over the long-term?
Thursday, July 14, 2011
Bernanke’s Nightmare / Currencies / US Dollar
By: Brady_Willett
The Great Ron Paul (no factiousness intended as Dr. Paul is truly one of a kind), has once again stymied the not-so-great Bernanke. After listening to Bernanke ramble on about people buying precious metals because of tail risks*, Mr. Paul finally interrupted and asked Bernanke point blank: ‘Do you think gold is money’? Bernanke’s answer, after an awkward pause, was as follows:
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Thursday, July 14, 2011
The Bell Tolls For The U.S. Dollar / Currencies / US Dollar
By: Jeff_Berwick
What an incredible day. I spent most of my day overlooking the beach in southern Mexico and so I was unaware of the buzz of activity that was going on worldwide. Around sundown, as I do most evenings, I then made my way to my office, Starbucks, and took my place in my usual seat, the red comfortable chair with armrests and began to scroll through the news of the day via the last free place on earth, the internet. And what a day it was!
Tuesday, July 12, 2011
Panic in the Markets, Making the U.S. Dollar Safer, Return OF Your Money / Currencies / US Dollar
By: Axel_Merk
There is panic in the markets: reviving memories of the peak of the financial crisis, investors have recently appeared less concerned about the return on their money, rather focusing on the return of their money. In what is a hallmark of grave investor concern, investors are paying for the privilege of lending money to the U.S. government: the yield on one and three month Treasury bills has been flirting again with negative yields.
Saturday, July 09, 2011
Coiling U.S. Dollar Set to Unwind / Currencies / US Dollar
By: Joseph_Russo
Over the medium-term, like many other broad based indices, the dollar continues to consolidate in a rather large sideways range. Its boundaries however, are not visually discernable in looking out over the short and near term as we’re doing here.Over the near-term, the dollar has been coiling in a contracting triangle from late May. Although it reserves the right to continue coiling for a couple of more weeks, the longer it does so, the more violent the unwind may be.
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Tuesday, July 05, 2011
Technically Speaking, U.S. Dollar Flirts With Trendline Support / Currencies / US Dollar
By: Joseph_Russo
After tagging a short-term downside whipsaw reversal target of 74.35 last Thursday, the US Dollar is just a whisker away from (TLS) trendline support on the daily bar chart.
Saturday, June 25, 2011
The Beaten Down U.S. Dollar Is A Buy! / Currencies / US Dollar
By: Sy_Harding
Where are investors to turn for profits?
U.S. and global stock markets are in corrections, producing losses for investors, and they do not look like their declines have ended yet.
Friday, June 24, 2011
U.S. Monetary System Descent into Fascism / Politics / US Dollar
By: David_Galland
The following interview with Dr. Vieira was conducted in early June of 2011 for the subscribers of The Casey Report – but after careful consideration, we decided that the content is so important; it needs to be shared with a wider audience. Feel free to pass it along.
Edwin Vieira, Jr., holds four degrees from Harvard: A.B. (Harvard College), A.M. and Ph.D. (Harvard Graduate School of Arts and Sciences), and J.D. (Harvard Law School).
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Tuesday, June 21, 2011
If the U.S. Dollar Collapses, What Happens to Your Portfolio? / Currencies / US Dollar
By: Jeff_Clark
Jeff Clark, BIG GOLD writes: Have you considered what will happen to your portfolio - and all the other areas of your life - if the dollar fails? The ramifications will be widespread, painful, and inescapable if you're not properly diversified.
Last month, I attended the Global Currency Expo sponsored by EverBank. The overarching theme, as you might expect, was that diversification out of one's home currency is paramount. While there were plenty of traders on hand, it was the big-picture talks that had the most pressing messages.
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Tuesday, June 21, 2011
Is the Euro Safer than the U.S. Dollar? / Currencies / US Dollar
By: Axel_Merk
Which one is safer: the euro or the U.S. dollar? Before jumping to a conclusion one way or the other, let's look at different sides of the respective coins. We have been warning for years that there may be no such thing anymore as a safe asset and investors may want to take a diversified approach to something as mundane as cash. We believe Greece has rather serious issues, but concerned investors may want to take a closer look at their dollar holdings for potential “contagion” risks. Let us explain…
Monday, June 13, 2011
How Do You Kill the U.S. Dollar? / Currencies / US Dollar
By: PhilStockWorld
That's the question that was on everyone's mind last week. The smallest indication of Dollar strength caused a Global equity meltdown. As Stock World Weekly has been pointing out all year, and as evidenced by this 2-year chart of the Dow relative to UUP (Dollar index), essentially our entire 40% rally since last summer was at least augmented by QE2's 20% weakening of Dollar buying power. Read full article... Read full article...
Thursday, June 09, 2011
US Dollar Death Spiral, Economy Hurtles Toward System Failure / Currencies / US Dollar
By: Jim_Willie_CB
The combination of $trillion bond fraud, dependence on inflating home equity for economic development, oversized cars, oil dependence, constant market intervention, insolvent banks, insolvent homes, outsourced industry, endless war, budget deadlock amidst runaway deficits, raided US gold treasury, mammoth future benefit obligations, and handing over the keys at USDept Treasury to Goldman Sachs has left the United States to fend off systemic failure. The creeping price inflation that stems from USFed hyper monetary inflation and total ignorance on basics of capitalism like business formation have left the US vulnerable to disorder and chaos. The chaos in fact grows with the passage of time and the ruin of money, against a background of a cruel middle class squeeze. With one citizen in seven on food stamps and over 22% of the population jobless, the sunset of the American Empire is well along. The banker oligarchs are gradually killing the nation, its democracy, and its wealth engines during a sustained strangulation process.
Friday, June 03, 2011
U.S. Dollar Unable to Strengthen / Currencies / US Dollar
By: Seven_Days_Ahead
The Dollar’s recent rally appears over, or is it?
Until the start of May the Dollar had been under relentless selling pressure that drove it to within a whisker of 1.50 against the Euro. Then suddenly it corrected, very vigorously. The catalyst was a mix of events, but the Portuguese debt crisis was at the centre of the drama weakening the Euro.
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Thursday, June 02, 2011
Washington Killing U.S. Dollar's No1 World Currency Status / Currencies / US Dollar
By: Adrian_Ash
SO the YIELD offered by 10-year US Treasury bonds just fell through 3.0%, a five-decade low when reached (and then breached on the way down to 2.0%) in 2009.
More telling, the real 10-year yield – the rate of interest paid to new buyers after you account for inflation – just slipped back below zero, even on the official CPI measure of living costs.
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Thursday, June 02, 2011
Where Were You the Day the U.S. Dollar Died? / Currencies / US Dollar
By: Money_Morning
Martin Hutchinson writes:
I've dubbed this the "pesofication" of the U.S. dollar.
But we're really talking here about the dollar's long-term demise.
Read full article... Read full article...
Thursday, June 02, 2011
Russia’s Interest Rate Hike is Negative for US Dollar / Interest-Rates / US Dollar
By: Dr_Jeff_Lewis
While the US markets were closed to observe Memorial Day, Russia’s central bank acted to raise interest rates to cool inflation. This may have ordinarily registered as a normal event for a central bank, but nothing is normal when the US central bank, the Federal Reserve, refuses to hike rates in the United States.
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Friday, May 20, 2011
U.S. Dollar Index Reversal Signs / Currencies / US Dollar
By: Seven_Days_Ahead
The 2011 downleg in the US Dollar Index recently violated the 2009 low but has held above the more major 2008 low, finding support on the long term chart and producing an initial reversal sign too.
Tuesday, May 17, 2011
U.S. Dollar Bull Monkey Dance Will End Badly, with a QE3 party? / Currencies / US Dollar
By: David_Banister
Interesting to watch all of the Silver and Gold Bears running out into the streets from their caves beating their chests due to the silver shellacking we just saw. Getting jiggy with the US Dollar rally is all the rage right now, and stomping on the precious metals Bulls is the hot sport. The only problem is calling for a crash after a crash is kind of like picking the winner of the NCAA tournament at your office the day after the tournament ends. It's rare to get a crash on top of a crash, and trying to predict any crash is a fool's game anyways.
Monday, May 16, 2011
Obama Kills Osama After the Bernank Spoke, US Dollar Bubble Bursts Trending Towards USD69 / News_Letter / US Dollar
By: NewsLetter
The Market Oracle NewsletterMay 3rd, 2011 Issue #9 Vol. 5
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Friday, May 13, 2011
What Drives the U.S. Dollar? / Currencies / US Dollar
By: Seven_Days_Ahead
The Dollar staged a lightening recovery towards the end of last week, especially against the Euro, driven by three main events:
- Anxieties about the Euro zone Sovereign debt crisis intensified as speculation continued to grow that Greece might yet be forced to restructure her debts,
- The ECB held interest rates unchanged, with Trichet failing to provide guidance about the timing of any future rate increase, and
- Anxieties emerged about the health and durability of the Global recovery.
Thursday, May 12, 2011
U.S. Dollar Transision From Bear to Bull Complete / Currencies / US Dollar
By: Toby_Connor
Despite my bias to see new all time lows in the dollar index, I think the dollar probably put in the three year cycle low last week. Sentiment at the time had reached multi-year lows and as of yesterday the dollar had moved back above the 50 day moving average.
Thursday, May 12, 2011
Countertrend Moves In U.S. Dollar, Gold and Silver / Currencies / US Dollar
By: Jeb_Handwerger
The US dollar has been reacting very bullish to the death of Osama bin Laden, the figurehead of Al Qaeda. Short-term investors have shown a renewed interest in the US dollar (UUP) as near-term resistance and the 50-day moving average have broken to the upside. Word has spread that this has been a critical blow to the Al Qaeda network, but countries are preparing for retaliatory attacks. Read full article... Read full article...
Wednesday, May 11, 2011
Gold and the Dead Cat U.S. Dollar Bounce / Currencies / US Dollar
By: Bob_Kirtley
This is a classic dead cat bounce by the US Dollar as it appears to fight desperately to avoid dropping below the much watched ‘72′ level. We say fight, but the real situation is not a fight at all, its a managed decline by the United States to lower the value of their currency and ultimately inflate away the mountain of debt that it realizes is impossible to ever re-pay.
Tuesday, May 10, 2011
Why the U.S. Dollar is Ready to Rebound, Anatomy of an Inflection Point / Currencies / US Dollar
By: Money_Morning
Jack Barnes writes:
For most of the past year, anything involving the U.S. dollar has been what traders like to refer to as a "one-way trade."
And with good reason: Over the past year, the U.S. currency has traded in only one direction - down.
Read full article... Read full article...
Friday, May 06, 2011
U.S. Dollar Bear Market Rallies, Stocks and Commodities / Currencies / US Dollar
By: Zeal_LLC
The beleaguered US dollar has certainly challenged silver’s crown of being the most-one-sided trade lately. The bearishness and pessimism plaguing the world’s reserve currency is overwhelming and universal, with nearly everyone convinced the US dollar is ready to fall off a cliff. But it is psychological conditions just like today’s that birth mighty bear-market rallies, with widespread implications for traders.
Friday, May 06, 2011
U.S. Dollar Rallys Sharply After ECB Backs Off From Interest Rate Rise / Currencies / US Dollar
By: Mike_Shedlock
ECB President Jean-Claude Trichet has backed off his usual way of signaling a rate hike, which is to use the phrase "strong vigilance". Instead, Trichet said today "the ECB will monitor inflation risks very closely".
Thursday, May 05, 2011
U.S. Faces Dollar Decline as China Grows / Currencies / US Dollar
By: Dr_Jeff_Lewis
According to a new statement from the International Monetary Fund, the United States will be the world’s leading economy for four more years, at which point China will overtake the US in total annual production of goods and services. While economists can and have expressed their doubts about how this plays into the world economy going forward, most everyone can agree that this news is not a positive release for the United States, nor the US dollar.
Read full article... Read full article...
Tuesday, May 03, 2011
U.S. Dollar, It’s Payback Time! / Currencies / US Dollar
By: Axel_Merk
It’s payback time for Ben Bernanke, the chairman of the Federal Reserve (Fed). In some ways, this should neither surprise, nor scare anyone. Unfortunately, however, it might do both.
Saturday, April 30, 2011
Plummeting US Dollar: The Age of America is Over / Currencies / US Dollar
By: Paul_Craig_Roberts
Today the Swiss franc made yet another new high against the super dollar, as it has been doing for 120 days. What you are reading in the graphs is less and less of the foreign currency that one dollar can buy. Of course, gold and silver also consistently hit new highs.
Wednesday, April 27, 2011
Bernanke Dollar Bottom or Crash! / Currencies / US Dollar
By: Toby_Connor
Today's FOMC meeting and press conference has the potential to either put in a daily cycle bottom in the dollar index or initiate a waterfall decline into the dollar's three year cycle low. There is a lot riding on this meeting.
Wednesday, April 27, 2011
Threats to US Dollar Reserve Currency Status: No Country Really Wants It! / Currencies / US Dollar
By: Mike_Shedlock
In spite of all the hype regarding the Yuan as a reserve currency I have stated many times recently that discussion of the Yuan as a reserve currency is nothing but ridiculous hype.
Wednesday, April 27, 2011
The Falling U.S. Dollar ... Is it a Good or Bad Event? / Currencies / US Dollar
By: Marty_Chenard
A dropping Dollar is considered an advantage for U.S. firms that trade internationally.
But, could a falling Dollar turn into a U.S. confidence crisis?
Read full article... Read full article...
Tuesday, April 26, 2011
CADUSD, Canadian Dollar Elliott Wave Analysis Update / Currencies / US Dollar
By: Tony_Caldaro
In December, we posted a write up on the CADUSD.
Tuesday, April 26, 2011
The Federal Reserve Note is Dead, Long Live the U.S. Dollar / Currencies / US Dollar
By: Jeff_Berwick
In 1520, Count Hieronymus Schlick of Bohemia began minting silver coins known as Joachimsthalers, named for Joachimstal (today called Jáchymov in the Czech Republic), where the silver was mined. In German, thal or tal refers to a valley or dale. Therefore, translated, the coins meant "Jachymov Valley". His "Joachimsthaler" was later shortened in common usage to taler or thaler and this shortened word eventually found its way into English as dollar.
Monday, April 25, 2011
Investors, Put the U.S. Dollar on Your Radar Screen Now / Currencies / US Dollar
By: Marty_Chenard
FYI for this week: "Put the U.S. Dollar on your radar screen".
Zhang Jianhua, the head of research at the People's Bank of China is getting very nervous now.
Read full article... Read full article...
Monday, April 25, 2011
Euro USD Currency Elliott Wave Technical Analysis / Currencies / US Dollar
By: Tony_Caldaro
We have written about the Euro in sections of various reports before, but this is the first report dedicated just to the EURUSD. The Euro, the currency of the European Union, replaced the ECU, a basket of european currencies, in 1999 on a 1:1 basis. For the record the Euro officially started trading in 1999. However, we do have charts for the ECU going back to 1991. In the 1990′s the basket of ECU currencies contained twelve different currencies.
Sunday, April 24, 2011
US Dollar DX Index Very Long Term Charts / Currencies / US Dollar
By: Jesse
The DX Index I normally show is the continuous futures contract on the DX index. The front month is now June.
The Fed also publishes two other dollar indices: major currency index, and the broad currency index. The major currency index is essentially the basis for the Wall Street DX futures index.
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Thursday, April 21, 2011
The U.S. Dollar Cycle / Currencies / US Dollar
By: Toby_Connor
For many months now I've been warning we were going to have a dollar crisis and that dollar crisis would drive the final leg up in gold's ongoing two year C-wave advance. We are now on the verge of the panic selling stage of this three year cycle.Read full article... Read full article...
Thursday, April 14, 2011
Can U.S. Dollar Weakness Mean Stock Market Weakness? / Stock-Markets / US Dollar
By: Jason_Kaspar
Are there any dollar bulls left? Inflationists across the web are crying ‘victory’ as the dollar sinks and certain asset prices (especially oil prices, food prices, and the gold price) mushroom higher. To the level headed, you should exercise extreme caution against assumed fixed correlations like “weak dollar” means “asset price increases.” Correlations can quickly change.
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Thursday, April 14, 2011
U.S. Dollar Review and Outlook / Currencies / US Dollar
By: Axel_Merk
We believe that continued U.S. dollar weakness may be a consequence of the diverging monetary approaches central banks are taking around the globe. While many international central banks have been on a tightening path, raising rates (i.e. central banks of: Australia, Brazil, Canada, China, India, Norway, Sweden, to name but a few), the U.S. Federal Reserve (Fed) has been conspicuous in its continued easing monetary policy stance. Indeed, while other central banks have been shrinking the size of their balance sheets, the U.S. Fed’s balance sheet continues to expand on the back of ongoing quantitative easing policies.
Read full article... Read full article...
Wednesday, April 13, 2011
U.S. Dollar Index Down Trend Intact / Currencies / US Dollar
By: Guy_Lerner
In my last look at the Dollar Index, I pointed out that the Dollar doesn't seem relevant anymore, and as long as the down trend was under control, then all seem to be ok. The trend is still down, and the technicals would suggest that we will be visiting the all time lows last seen in 2008 at some point in the near future. At that point, I surmise things will start to get interesting.
Read full article... Read full article...
Wednesday, April 13, 2011
Economics 101: Long Material, Short Certified Idiots / Economics / US Dollar
By: Fred_Sheehan
Some relationships:
The last time the U.S. dollar exceeded 120 on the dollar index (ticker symbol DXY: a measurement of the dollar against other currencies) was in January 2002. The close on April 8, 2011, was 75.08, a 37 % decline.
Since January, 2002, gold has risen from $282 to $1,475 an ounce, also quoted at the April 8, 2011, close
Friday, April 08, 2011
U.S. Dollar Crisis Looms, Spike in Interest Rates Following End of QE2 / Currencies / US Dollar
By: Chris_Kitze
Chris Martenson writes: As a major currency crisis looms in the west, there are some things that we should all expect. Lifestyle changes that we don't have to imagine, but ones we can see happening right in front of us today. Now the catalyst for the beginning of a major currency crisis could be several things. To note just a few, QE2 ending would cause a spike in interest rates, banking crisis, and inevitably a debt crisis that would lead to a dollar crisis.
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Tuesday, April 05, 2011
The Falling US Dollar / Currencies / US Dollar
By: Tony_Pallotta
Below is a monthly chart of the USD index (DXY) since 2000. In that period of time it has died a slow death down 37%. A currency is like a stock in a company and this is one company shareholders continue to sell. Whether it be the shrinking manufacturing base, millions in lost jobs, rising debt, weak leadership, lack of new products in the pipeline to fuel growth, this company (excuse me country) is in trouble right now.
Read full article... Read full article...
Wednesday, March 30, 2011
U.S. Dollar Has Cancer and its Metastasising / Currencies / US Dollar
By: GoldSilver
All you can do is play the hand you are dealt.
This is not going to be pretty. When it happens, it is not going to be good for most people. It's only going to be good for a few. Those who hold physical gold and silver.
Read full article... Read full article...
Tuesday, March 29, 2011
The Death of the "Dollar Carry Trade" / Currencies / US Dollar
By: Money_Morning
Shah Gilani writes:
By maintaining a Federal Funds rate below the 0.25% level - and injecting $600 billion into the banking system through a second round of quantitative easing - the U.S. Federal Reserve has orchestrated a bubble-like surge in commodity prices, an uptick in global inflation and a historic resurgence in U.S. stock prices.
The low-interest-rate strategy has enabled the U.S. central bank to achieve another important objective - a massive depreciation in the value of the U.S. dollar.
Read full article... Read full article...
Monday, March 28, 2011
US Dollar, Making a Case for the Greenback / Currencies / US Dollar
By: Submissions
R.F. Lee writes: The US Dollar has been on a pronounced downtrend since the middle of 2010, and has been threatening its record lows as of this writing at the end of March 2011. In the week of 21 March 2011, the greenback registered new lows against Gold and the Australian Dollar, and also reached a 31-year low against silver.
Saturday, March 26, 2011
US Dollar Under Acute Pressure As World seeks an Alternative Reserve Currency / Currencies / US Dollar
By: Bob_Chapman
The days and years of manipulation, fraud and criminal behavior are fast coming to an end. New alliances are evolving, as are outspoken advocates of a new world reserve currency. As a result more and more foreigners are bypassing Treasury and Agency bonds, as well as other US dollar denominated investments. We watch as other major nations accumulate gold and cannot help but think that the new world reserve currency will be gold backed.
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Wednesday, March 23, 2011
U.S. Dollar Collapse Inevitable, Gold Wealth Protection / Currencies / US Dollar
By: Jeff_Clark
What will happen to the U.S. economy and the dollar in the near term? Will inflation increase dramatically? What is the outlook for gold, and where should you put your money? BIG GOLD asked a world-class panel of economists, authors, and investment advisors what they expect for the future. Caution: strong opinions ahead...
Monday, March 21, 2011
U.S. Dollar Breakdown or Reversal? / Currencies / US Dollar
By: John_Hampson
The US Dollar has now broken beneath long term rising support, as shown in the first chart below of the US Dollar index. There are other support levels below, around 75 and then 72, but beneath that we would enter unchartered territory, as shown in the second longer term chart, and the weakness of the latest dollar bounce is notable.
Monday, March 21, 2011
U.S. Dollar End Game / Currencies / US Dollar
By: Toby_Connor
For months and months I've been warning investors that the dollar was going to come under extreme pressure sometime this year. I expected it to probably happen in the spring. Many people thought I was nuts. They were sure it was the Euro that would collapse, despite the fact that the EU is doing everything they can to protect their currency while Bernanke is doing everything he can to destroy ours.
Monday, March 21, 2011
How the Fed Is Wrecking the U.S. Dollar / Currencies / US Dollar
By: Joseph_T_Salerno
Testimony before the US House of Representatives, Committee on Financial Services, Subcommittee on Monetary Policy, March 17, 2011
The old argument has recently come back into vogue that moderate inflation is desirable to prevent the far greater evil of deflation. What used to be roundly condemned as "creeping inflation" in the 1950s by Fed officials and mainstream economists alike is today given the scientific-sounding name "inflation-targeting" and hailed as the proper goal of monetary policy.1 In the past decade, this view has been promoted by many mainstream economists, most notably former Fed Chairman Greenspan and current Fed chairman Bernanke. But this view is based on a fundamental confusion. It conflates deflation and depression, which are two very different phenomena. Falling prices are, under most circumstances, absolutely benign and the natural outcome of a prosperous and growing economy. The fear of falling prices is thus a phobia – I call it a "deflation-phobia" – which has no rational basis in economic theory or history.
Read full article... Read full article...
Sunday, March 20, 2011
Fed Policies of U.S. Dollar Destructionism / Interest-Rates / US Dollar
By: LewRockwell
James Grant writes: This testimony was delivered before the Ron Paul monetary subcommittee on March 16, 2011.
"What Should the Federal Reserve Do Next?" was the headline over the roundup of expert monetary opinion on the op-ed page of the Sept. 9 Wall Street Journal. The experts couldn't seem to agree. Buy Treasurys by the boatload, one counseled. Do nothing of the sort, urged another. Hew fast to the Taylor Rule, John B. Taylor, himself the author of the very rule, modestly proposed (i.e., fix the federal funds rate at one-and-a-half times the inflation rate plus one-half times the shortfall of GDP from potential, plus one). The half-dozen authorities shared not much common ground except to ignore the principles on which the dollar was defined in 1792 and those on which the Federal Reserve was enacted in 1913. The burden of this essay is that they thereby missed the point.
Read full article... Read full article...
Sunday, March 13, 2011
Time to Bet on a RISING U.S. Dollar? / Currencies / US Dollar
By: DailyWealth
Dr. Steve Sjuggerud writes: You hear it over and over...
"Because of all the debts and the deficits, the dollar is about to crash."
Thursday, March 10, 2011
The U.S. Dollar’s Double Decline / Currencies / US Dollar
By: Dr_Jeff_Lewis
Even silver and gold bears realize that the dollar is in decline, but few realize the extent of such a decline and how massive shifts in capital flows in 2008 will affect the dollar in 2011.
Read full article... Read full article...
Tuesday, March 08, 2011
U.S. Dollar Long-term Chart / Currencies / US Dollar
By: Jesse
The weakness with this US Dollar DX index is that it is highly weighted to the developed economies of Europe and Japan. As such it may not reflect erosion of dollar purchasing power vis a vis the BRICs, and external measures such as gold, oil, and silver. It may be masked by the mutual weakness of central banks all inflating their currencies in unison.
Read full article... Read full article...
Tuesday, March 08, 2011
Crude Oil and Gold Prices Surge as Speculators Bet Billions Shorting the U.S. Dollar / Currencies / US Dollar
By: Money_Morning
Kerri Shannon writes: Oil reached a 29-month high (yesterday) Monday morning in London and gold hit an intraday record as investors sought to hedge against inflation and traders bet billions shorting the dollar.
Brent crude futures contracts in London gained 0.1% yesterday to close at $116.11 a barrel, pushed higher by the Middle East crisis disrupting the oil supply. Crude for April delivery was up 0.9% to $105.36 in Monday afternoon trading on the New York Mercantile Exchange (NYMEX).
Read full article... Read full article...
Monday, March 07, 2011
U.S. Dollar Index at High Risk of Unraveling / Currencies / US Dollar
By: Guy_Lerner
I am sure that you are aware that the Dollar Index can't get a bid. This isn't news but a fact. The Dollar Index is in a down trend, and the question to ponder is: how low can it go? Looking at the price patterns, I believe the Dollar is at significant risk of unraveling.
Wednesday, March 02, 2011
Taps for the Dollar / Currencies / US Dollar
By: Michael_Pento
It now appears that the United States has finally succeeded in its efforts to destroy confidence in the U.S. dollar. Given the currency's reserve status, its ubiquity in financial markets, and the economic power and political position of the United States, this was no easy task. However, to get the job done Washington chose the right man: Fed Chairman Ben Bernanke. Thanks to Bernanke's herculean efforts, investors across the globe have now been fully weaned from their infantile belief that the U.S. dollar will remain the ultimate safe haven currency.
Tuesday, March 01, 2011
Disasters Rocking U.S. Dollar? / Currencies / US Dollar
By: Axel_Merk
From earthquakes in New Zealand to revolutions in the Middle East, natural and man-made disasters are rocking the world. We are all too often made to believe that in times of crisis there’s a flight to the U.S. dollar. However, the U.S. dollar has instead had a rocky ride of its own thus allowing the crisis-ridden Eurozone to shine. What’s going on? Is there no crisis, or has the U.S. dollar lost its appeal as a safe haven?
Tuesday, March 01, 2011
Did You Notice This Change in the U.S. Dollar? / Currencies / US Dollar
By: DailyWealth
Dr. Steve Sjuggerud writes: Did you notice the U.S. dollar changed in the last few weeks?
I don't mean that it changed colors, has new security features, or has different words.
Tuesday, March 01, 2011
Is the U.S. Dollar on the Brink? / Currencies / US Dollar
By: Julian_DW_Phillips
Just take a look at the chart of the U.S. dollar Index and you see a frightening sight. If it sinks any further its support will have evaporated. We have watched all this week the gold price rise and look good in the dollar. But in the euro it has barely moved. Against the Swiss Franc the dollar looks so weak. With the Technical picture looking so poor, one turns to the fundamentals to see if they conflict or support a downturn for the dollar.
Thursday, February 17, 2011
U.S. Dollar on the Edge of the Abyss / Currencies / US Dollar
By: Toby_Connor
The dollar is now poised on the edge of the abyss.
The current intermediate cycle has rolled over and is making lower lows and lower highs. The current daily cycle has formed a swing high and is in jeopardy of rolling over into a left translated cycle. If the dollar breaks below the November intermediate bottom of 75.63 it will be an incredibly bearish sign as not only will the current intermediate cycle have topped in only 4 weeks but the larger yearly cycle will also have topped in only 4 weeks.
Tuesday, February 15, 2011
Fed's Gold Bullish Script, Destroying the Dollar and Demolishing the United States / Currencies / US Dollar
By: Jeff_Berwick
What If We Had a Bubble and Nobody Came?
You could not have written a better script for gold. It is almost as if the US Government and the Federal Reserve are trying to destroy the dollar and demolish the country – and taking most of the western world with it.
At the beginning of this gold bull market, in 2000, no one had ever heard of Barack Obama or Ben Bernanke. But, 11 years later, and an outright socialist profligate spender is President of the US and a College professor who believes in crackpot Keynesian theories about how money printing can save economies is the Chairman of the Federal Reserve.
Saturday, February 12, 2011
U.S. Dollar Gains on Global Political Uncertainty / Currencies / US Dollar
By: LiveCharts
It is a amazing that despite some improving signs on the domestic economy, it is developments in Egypt that have helped prop up the dollar in early Friday (February 11) currency trade.
Egyptian President Hosni Mubarak has once again refused demands that he step down in lieu of a political uprising in the country. The uncertainty surrounding developments in Egypt have weighed on global equities, but the greenback has made a slight comeback.
Read full article... Read full article...
Thursday, February 03, 2011
The U.S. Dollar Index, How Low Can You Go? / Currencies / US Dollar
By: Guy_Lerner
When looking at the Dollar Index, I am reminded of the song the "Cha Cha Slide"when the performer says, "How low can you go?" There is no question investors believe that the Dollar is going down and that equities are only going up all courtesy of Federal Reserve Chairman Bernanke and his QE 2 policy. Yesterday's rally in equities and concurrent drop in the Dollar served to remind me of the fact that currency devaluation and increasing liquidity remain the drivers for equities. It has been that way since 2007, and why should it stop now? For the record, the Dollar Index was down a hefty 0.86% yesterday while stocks enjoyed a strong trend day.
Friday, January 28, 2011
Could Bernanke Spark a Run on the U.S. Dollar? / Currencies / US Dollar
By: Mike_Whitney
Treasury yields are "blinking red", but the Fed keeps acting like nothing's wrong. What's the deal?
Let's explain: Fed chairman Ben Bernanke's bond purchasing program (QE2) has sent the yield on the 30-year Treasury skyrocketing. At the same time, the the 2-year Treasury is stuck at a lowly 0.61. That means, the "yield curve" between the two bonds has grown steeper, which normally happens at the beginning of a recovery because investors are moving out of "risk free" bonds to riskier assets like stocks. Typically, the yield on the long-term bond will start to go down on its own because investors expect the Fed to raise short-term rates to curb potential inflation. But that's not happening this time. Why? And why should we care?
Thursday, January 20, 2011
Plans to Save the Doomed U.S. Dollar / Currencies / US Dollar
By: Mac_Slavo
Reuters’ Emily Flitter asks in a recent column What is Plan B if China dumps its U.S. debt?
Read full article... Read full article...It is worth asking about U.S. officials’ Plan B just in case one day relations take a surprise turn for the worse and Beijing dumps its holdings of U.S. treasuries.
Tuesday, January 18, 2011
A Temporary Lifeline for the U.S. Dollar 2011 / Currencies / US Dollar
By: Q1_Publishing
2011 is set to be the year of the dollar’s rebound.At first glance, the dollar shouldn’t be on the rise. Official unemployment is stuck at near 10%. Dozens of municipal governments are set to fall into bankruptcy this year. The federal budget deficit is over $1 trillion. The Fed has signaled its intention to monetize more debt.
Read full article... Read full article...
Monday, January 17, 2011
Why Hold Dollars if the Fed is Going to Intentionally Deflate Their Value? / Currencies / US Dollar
By: Ned_W_Schmidt
As everyone seems to know, and as you have read endlessly in innumerable reports, the Federal Reserve has expanded its balance sheet by more than two trillion dollars. At present is in the process of adding another six hundred billion dollars of assets by monetizing U.S. government debt. At the same time, Obama Regime's deficit has spiraled out of control. Correctly measured, that deficit for the past year was $1.7 trillion.
Thursday, January 06, 2011
Destruction of the U.S. Dollar, The Real Reason Paul Volcker Wants Out / Currencies / US Dollar
By: Jeff_Berwick
The news that Paul Volcker plans to step down from a "panel of experts" advising Barack Obama today will likely whip market participants into a bit of a frenzy analyzing what this could possibly mean.
But, the problem with their conclusions will be that they are starting from an incorrect premise. The great majority of market participants believe that Paul Volcker was responsible for ending the inflation of the 1970s. And, as usual, the great majority of market participants are wrong.
Read full article... Read full article...
Friday, December 17, 2010
The U.S. Dollar Threads a Needle / Currencies / US Dollar
By: John_Browne
Pre-holiday cheer is certainly evident in the financial markets. The overwhelming consensus is that the Congressional agreement to not raise taxes while extending hundreds of billions in new stimulus will finally allow the recovery to take hold. The good feelings are underscored by less-than-awful employment reports and modest slowdowns in foreclosures. Another point of optimism is the continued buoyancy of the US dollar, which has weakened over the past few months, but has not collapsed.
Wednesday, December 15, 2010
Is The U.S. Dollar Too Big to Fail? Gold and Silver Lifeline / Currencies / US Dollar
By: Lorimer_Wilson
Those in the U.S. power structure know what the plan is should the U.S. dollar fail. They are not admitting publically that there is even the remotest chance that it could happen but, rest assured, there is a plan. There is always a plan. To paraphrase Franklin Roosevelt, nothing happens by chance in government, so don’t be caught up in such a ‘surprise’ event - whatever it may be and whenever it occurs.
Tuesday, December 14, 2010
Post Mortem for the world's "Reserve Currency" / Currencies / US Dollar
By: Mike_Whitney
Paul Volcker is worried about the future of the dollar and for good reason. The Fed has initiated a program (Quantitative Easing) that presages an end to Bretton Woods 2 and replaces it with different system altogether. Naturally, that's made trading partners pretty nervous. Despite the unfairness of the present system--where export-dependent countries recycle capital to US markets to sustain demand---most nations would rather stick with the "devil they know", then venture into the unknown. But US allies weren't consulted on the matter. The Fed unilaterally decided that the only way to fight deflation and high unemployment in the US, was by weakening the dollar and making US exports more competitive. Hence--QE2.
Monday, December 13, 2010
U.S. Dollar Forecast 2011, Ways to Profit Despite the Greenback's Expected Struggles / Currencies / US Dollar
By: Money_Morning
By Larry D. Spears writes:
The U.S. dollar faces a long list of challenges in the New Year.
The U.S. greenback could strengthen in 2011-but only against the European euro and other currencies with heavy exposure to the European debt crisis, including the British pound sterling. Against virtually every other currency, however, the U.S. dollar is likely to be the loser.
Read full article... Read full article...
Sunday, December 12, 2010
The Debt-Dollar Discipline: Part II - Conservation & Release / Currencies / US Dollar
By: Ashvin_Pandurangi
Part I in this series introduced Michel Foucault's theory of disciplinary society, laid out in his book Discipline and Punish, and the application of this analysis to the "debt-dollar discipline" formally imposed on global society by the Bretton Woods Agreement of 1945 (establishing the dollar as the global reserve currency). It should come as no surprise that this global financial discipline is currently in the process of being revoked.
Friday, December 10, 2010
Will Aussie Dollar Overtake U.S. Dollar? / Currencies / US Dollar
By: Bari_Baig
Green back was not strong nor weak it was neutral at best with mild bias towards the red territory a perfect example of undergoing consolidation. However, the U.S Dollar really was materially weak against the Aussie Dollar as the data out from Canberra of employment beat not just the streets estimates but also beat previous induction of “full time” workers. The employment rose by 54,600 for the month of November for full time workers. Australia has the highest interest rates of all the developed nations and keeping in view such high employability the already tight monetary policy would certainly have to be tightened even further.
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Saturday, December 04, 2010
Collapse of the Debt Dollar Discipline: Financial Discipline & Punish / Currencies / US Dollar
By: Ashvin_Pandurangi
*The following is Part I in a two part series of articles on the relatively rapid emergence and collapse of the "debt-dollar discipline" imposed on our global society. It is being done in two installments mainly due to my current time constraints, but also for the sake of shorter length and targeted focus. This part will introduce Michel Foucault's (renowned french philosopher, 1926-1984) analysis of "discipline" and "punish" in the modern state, and apply it to the global debt-dollar reserve system. The next part will focus entirely on the ongoing collapse of this disciplinary system, as it such an important and far-reaching topic.
Wednesday, December 01, 2010
China and Russia Trade Agreement: More than Meets the Eye / Currencies / US Dollar
By: Dr_Jeff_Lewis
Direct trade between China and Russia may be less than $50 billion annually, but it's not the numbers that matter. Under the new agreement, China and Russia have decided that they will use their own local currencies to settle bilateral trade. Previously, both countries used the United States dollar as an intermediary for settling delivery payments.
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Wednesday, December 01, 2010
U.S. Dollar USD Index Deja-Vu from 52 Weeks Ago? / Currencies / US Dollar
By: Ashraf_Laidi
US dollar stabilizes up as US bond yields push higher following the 93K increase in Nov ADP (highest since Nov 2007) and the October revision to +82K from +43K. US 10 year yields jump to 2.91% from 2.79% earlier, further boosting the "good-data-is positive-for-USD" reaction, which was not always apparent. Although the euro is holding firm, general FX dynamics are increasingly similar to exactly a year ago when USD strengthened in early December 2009 on a combination of strong US Nov jobs report (released on December 4, 2009 at -11k vs expectations of -130K) and the triple downgrades of Greece later in the month (Fitch, S&P and Moodys). Are we witnessing a Déjà vu from exactly 52 weeks ago? Such would be the case in the event of double positive surprise (strong NFP, falling unemployment rate) and possibly upside revisions.
Tuesday, November 30, 2010
U.S. Dollar's Rally From the End of Inverted Parabolic Formation is Bearish for Gold and Silver / Currencies / US Dollar
By: Ned_W_Schmidt
Really need to start drinking more coffee, perhaps. Must have fallen asleep and missed the demise of the U.S. dollar. For when we looked this morning, it was still there trading away. Something must have happened while we were nodding off.
Tuesday, November 30, 2010
Why I Still Like the U.S. Dollar in a Crisis / Currencies / US Dollar
By: DailyWealth
Jeff Clark writes: "Where the heck is our emergency cash?" I asked, looking squarely at my wife...
The mountain of $20 bills I stashed away last year was now nothing more than a mole-hill.
Tuesday, November 30, 2010
Four Ways to Monitor the U.S. Dollar and Risk Trade / Currencies / US Dollar
By: Chris_Ciovacco
With European debt markets getting little relief thus far from the Ireland bailout, we need to keep a continued eye on the U.S. dollar. A weaker U.S. dollar tends to provide tailwinds for stocks, commodities, gold, and silver. Therefore, a longer-than-expected rally in the greenback may provide headwinds for these assets, with gold being the possible exception in the near-term.
Tuesday, November 30, 2010
Currency Manipulation, Two Sides to Every Coin / Currencies / US Dollar
By: Axel_Merk
Recently, currency manipulation has garnered headline attention. We have been constantly bombarded with rhetoric out of Washington: “China isn’t allowing its currency to appreciate fast enough”; “China’s exchange rate policies are stealing jobs from America”; “We’re playing fair, why can’t China?” More often than not, the more vociferous proponents come from politicians who, in our opinion, are simply posturing for votes; attempting to provide catchy sound bites they believe will resonate with their constituents, without fully grasping the underlying fundamentals at play. The situation itself is truly paradoxical – akin to a major corporation thanking its largest creditor by insulting them.
Monday, November 29, 2010
U.S. Dollar Rally, Gold and the Art of Speculation / Currencies / US Dollar
By: Howard_Katz
The rally in the dollar over the past few weeks serves as a good illustration of what it takes to be a good speculator. I can remember when I was new to the art of speculation. It was the early 1970s, and Richard Nixon, unilaterally and illegally, abolished the U.S. gold standard (or at least the slender, connection to gold which still existed at that time and was known as the Bretton Woods System).
Friday, November 26, 2010
While North And South Korea Exchange Artillery, China and Russia Fire A Warning Shot Against The Bernanke Bow / Politics / US Dollar
By: Jeb_Handwerger
When time permits I like to relax with a good mystery story. One of my favorite masters of the genre is Sir Arthur Conan Doyle, creator of Shirlock Holmes. A few days ago a story appeared on the front page of China Daily on 11-23-10, that is worthy in emulating the masters great classic: “The Dog That Did Not Bark.”
Thursday, November 18, 2010
The U.S. Dollar Survives Again / Currencies / US Dollar
By: John_Browne
Given all that stress that the Federal Reserve's currency debasement program is laying on the global economy, last week's G-20 summit in South Korea should have been the monetary equivalent of a military degradation for the U.S. dollar. The greenback should have been slapped across the face, stripped of its medals, and cashiered from the ranks of respected currencies. Instead the dollar escaped unscathed, retaining its privileged status as the world's reserve.Read full article... Read full article...
Thursday, November 18, 2010
U.S. Dollar, USD Index Rally? / Currencies / US Dollar
By: Christopher_Laird
Why the USD is rallying
Well why can the USD rally now with another $600 billion of US QE? Basically it is argued by some, including me, that since the US has the defacto world reserve currency, that even if the US wants to abuse it and print a lot of money, since they print it, and issue the USD, they can win any argument on currency rates.
Wednesday, November 17, 2010
U.S. Dollar Trend Puts Gold Under Pressure / Currencies / US Dollar
By: Jeb_Handwerger
Last week I warned that the U.S. Dollar was reaching three year lows and to expect a dollar bounce. The dollar has bounced higher as risk aversion has returned with Ireland on the verge of needing a bailout and China raising interest rates to combat rising inflation. There are growing concerns of the Fed needing to raise interest rates ahead of schedule. The previous euphoria in commodities appears to be waning and the technicals are demonstrating the fundamental challenges facing commodities.
Tuesday, November 16, 2010
Looking Back at the Credit Crunch, Fall of the Mighty Dollar / Currencies / US Dollar
By: Rosanne_Lim
When politicians and policy makers see an economic problem, especially one with the scale of the financial crisis today, they feel obliged to solve it. Unfortunately, the measures they’ve implemented have not worked so far. In fact, their policies have the opposite effect because it reinforces imbalances. The monetary stimulus is just whetted the appetites of consumers to purchase even more imports. Meanwhile, the second round of quantitative easing might only make it worse.
Sunday, November 14, 2010
U.S. Election Rejection of Obama is Bullish for U.S. Dollar, Gold Rally Defferred / Currencies / US Dollar
By: Ned_W_Schmidt
Rejection may be hard for most politicians to accept, but might be good for the nation and the world. Obama Regime's mismanagement of U.S. economy was rejected on 2nd of November in the U.S. election. That rejection ushered in the greatest change in political power in U.S. since 1948. Thus far, Obama Regime's only positive legacy will be the greatest political rejection in 62 years. That development means Obama Regime's reign of terror on wealth and economic growth has ended. That is bullish news for the U.S. dollar.
Friday, November 12, 2010
U.S. Dollar Devaluation, A Bad Plan Poorly Disguised / Currencies / US Dollar
By: John_Browne
With our economy sagging and our international clout waning, one of the few assets upon which the United States can rely is the confidence that the rest of the world has traditionally showered upon us. That confidence is the reason why the US dollar was elevated to global reserve status more than 65 years ago.
Thursday, November 11, 2010
The U.S. Dollar, What should Investors do? What should Governments do? / Currencies / US Dollar
By: Axel_Merk
The Federal Reserve’s (Fed’s) strategy of firing up its printing press may have the debasement of the U.S. dollar as its goal (see Fed Targets Weaker Dollar), but it’s important to note that the Fed does not act in a vacuum. In our humble opinion, Fed Chair Bernanke is wrong both on substance and politics – a potentially explosive mix.
Thursday, November 11, 2010
Will the G20 Dump the U.S. Dollar as the World's Main Reserve Currency? / Currencies / US Dollar
By: Money_Morning
Jason Simpkins writes:
The Group of 20 (G-20) is meeting today (Thursday) and tomorrow (Friday) in Seoul, South Korea, and one of the main topics of discussion will be the role of the U.S. dollar in the post-crisis global economy.
Debate over the dollar's role as the world's main reserve currency rose to a fevered pitch in 2008 when the financial crisis, which began in the United States, first roiled global markets.
Read full article... Read full article...
Wednesday, November 10, 2010
U.S. Dollar Bounces Off Important Support on Post QE2 Reality / Currencies / US Dollar
By: Jeb_Handwerger
This week we are reaching price levels in the dollar that have only been touched 3 major times in the last 3 years. After touching this level the dollar has bounced higher in reaction to major deflationary forces.Read full article... Read full article...
Wednesday, November 10, 2010
U.S. Dollar Stronger as Speculators Consider Global Economy / Currencies / US Dollar
By: LiveCharts
Currency speculators are struggling to make sense of everything happening around them in the global economy. At the moment (November 10), the dollar is in a stronger position following the Central Bank sell off of some 10-year debt at a lower than expected yield.
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Wednesday, November 10, 2010
Fed Pushing U.S. Dollar Closer to Collapse / Currencies / US Dollar
By: LewRockwell
Jeff Fisher writes: Every day the US Dollar moves closer to collapse.
International investors, unlike most Americans, are aware of the risk, and are nervously watching Gold and Silver march higher.
Read full article... Read full article...
Monday, November 08, 2010
U.S. Dollar Rally Possible, Reduce Exposure to Gold, Silver and Copper / Currencies / US Dollar
By: Chris_Ciovacco
While the long-term fundamentals related to the U.S. dollar remain bearish, Friday’s significant rally in the greenback leaves the door open for a possible countertrend rally. The conditions highlighted below may be cleared in a matter of days, but as of the close on November 5th the dollar remains susceptible to a surprise countertrend rally.
Sunday, November 07, 2010
Bernanke Delivers QE2 Last Rites for Dollar as Worlds Reserve Currency / Currencies / US Dollar
By: Mike_Whitney
Millions of Americans have no idea what Quantitative Easing is or how it will effect them personally. That's why Wednesday's announcement that the Fed will purchase another $600 billion in US Treasuries merely reinforced feelings of helplessness and a sense that government spending is out-of-control. Unfortunately, Ben Bernanke's rambling explanation of QE2 in a Washington Post op-ed on Thursday only added to the confusion. The article is loaded with half-truths and omissions that are meant to mislead the public about how the program works and what the Fed's real objectives are. It's another missed opportunity by Bernanke to come clean with the people and let them know what policies are being enacted in their name. Here's an excerpt from the article:
Saturday, November 06, 2010
Seven Bullish U.S. Dollar Charts You Should See / Currencies / US Dollar
By: Bryan_Rich
The currency market, as well as all markets, have been heavily focused on the U.S. and the Fed’s plans for more quantitative easing (QE).
And that’s had a huge impact on the dollar and on dollar sentiment.
Read full article... Read full article...
Friday, November 05, 2010
Fed Quantitative Easing 2, One of the Greatest Blunders in History / Currencies / US Dollar
By: Toby_Connor
Many years from now when we look back at history I think yesterday will be seen as one of the greatest blunders ever made by a central banker.
The dollar was already headed down into a major 3 year cycle low.
Friday, October 29, 2010
Keep Your Head Above the U.S. Dollar / Currencies / US Dollar
By: Peter_Schiff
There has been so much discussion recently about "QE 2" that you would think the entire financial sector were about to embark on a transatlantic cruise. Unfortunately, they, and we, are not so lucky. In the year 2010, "QE 2" doesn't refer to a sumptuous ocean liner, but a second, more extravagant round of "quantitative easing" - stimulus. In the past, this technique was simply called "printing money." As if the nation has not already suffered enough from the first round, Captain Ben Bernanke and the Fed are determined to compound the damage by hitting us with another monetary juggernaut. Their stated goal is to boost the economy and create jobs. However, since economic growth cannot be achieved by printing money, their QE 2 will sink just as surely as the Titanic.Read full article... Read full article...
Wednesday, October 27, 2010
U.S. Dollar Index Impact on Precious Metals / Currencies / US Dollar
By: Ronald_Rosen
Since there is so much concern and conviction that the U.S. Dollar is about to collapse and the precious metals complex is about to rise sharply, let’s take a close look at where the Dollar Index has been, what if anything in the precious metals complex it has influenced, and where it may be going.
Wednesday, October 27, 2010
U.S. Dollar USD Index Trend Forecast Update / Currencies / US Dollar
By: David_Petch
The present action of the USD is congruent with the various forms of quantitative easing at the moment. All forms of paper currency are becoming weakened as all larger governments expand their fiat. If China and the US goverments add alot of paper, it can be converted into other currencies or assets. IF the funds are converted to say Canadian dollars, the Canadian currency was just indirectly debased. This is due to global conversion from one currency to another. Any country that produces anything in the coming years is going to see strength in their local currency, which in turn will increase with demand.
Friday, October 22, 2010
U.S. Dollar Current Account Woes / Currencies / US Dollar
By: Andy_Sutton
Amid the recent rout of the USDollar, fears of an all-out trade war have been stoked globally. The G20 finance heads are currently struggling to find common ground on current account imbalances that will avert the inevitable. The point should not be lost on anyone that none of these leaders are really concerned about why these imbalances exist, but rather are only focusing on avoiding the negative consequences of poor fiscal behavior stacked up over the past several decades.
Thursday, October 21, 2010
Will the U.S. Treasury Defend the Dollar? / Currencies / US Dollar
By: Gary_Dorsch
“Everything depends on proper listening. Of ten people who listen to the same speech or story, each person may well understand it differently. Perhaps, only one of them will understand it correctly.” How should traders interpret the latest remarks by US Treasury chief Timothy Geithner, who shocked the currency markets on October 18th, citing his determination to defend the value of the US-dollar?
Thursday, October 21, 2010
Geithner, China Currency War and Foreclosure-gate / Currencies / US Dollar
By: Dian_L_Chu
Global markets freaked out on Tuesday primarily due to the following events:
- U.S. Treasury Secretary Geithner’s speech on Monday pledging “The United States and no country around the world can devalue its way to prosperity."
- Within hours after Geithner’s statement, China made a surprise interest rate hike—its first since 2007--raised fears that Chinese growth will slow with global implications.
- The unraveling of the “foreclosure-gate” could mean banking crisis 2.0
Wednesday, October 20, 2010
U.S. Policies Intensifying Currency War and Trade Conflicts / Politics / US Dollar
By: Barry_Grey
In the wake of the fractious International Monetary Fund (IMF) meeting held October 9-10 in Washington, the descent into global currency and trade war has accelerated, with the United States playing the role of instigator-in-chief.
The US is deliberately encouraging a sell-off of dollars on international currency markets in order to raise the relative exchange rates of its major trade rivals, increasing the effective price of their exports to the US while cheapening US exports to their markets.
Read full article... Read full article...
Tuesday, October 19, 2010
A Rising U.S. Dollar Amidst a Currency War? / Currencies / US Dollar
By: Marty_Chenard
Wall Street has been pointing out how a falling Dollar is good for stocks ... especially for international companies. What happens if the Dollar rises now?
Read full article... Read full article...
Monday, October 18, 2010
U.S. Dollar Devaluation, The Greatest Bet of All Time / Currencies / US Dollar
By: Larry_Edelson
No doubt you watched the U.S. dollar plunge almost out of control last week.
And no doubt you heard about the massive currency wars that are bearing down on the world, as each major country tries to put itself on sale, to boost exports, to inflate debts, and to compete in a world where both consumers and investors are running for cover.
Read full article... Read full article...
Monday, October 18, 2010
USD Index Trend Forecast Into Mid 2011, U.S. Dollar Collapse (Again)? / News_Letter / US Dollar
By: NewsLetter
The Market Oracle NewsletterOct 12th, 2010 Issue #56 Vol. 4
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Sunday, October 17, 2010
Look at the U.S. Dollar USD Index / Currencies / US Dollar
By: Steven_Vincent
At this time sentiment on the US Dollar Index is about as bearish as ever and at least equivalent to that at the bottom in December 2009. Expectations for a meltdown to all time lows in the context of rampant devaluation via Quantitative Easing by the Fed are nearly universal. While these expectations may, of course, be met in the market, it's worth asking what the implications may be if the setup renders a contrarian result.
Saturday, October 16, 2010
U.S. Dollar USD Index ZERO Bound / Currencies / US Dollar
By: Joseph_Russo
Who is fooling whom?"
It is with sheer disbelief, and utter amazement that the real world accepts such an empty unit of exchange to start with. To fathom a plausible reason for such collective behavior, one need not go any further than studying the classic conditioning experiment of Pavlov and his dogs.
Friday, October 15, 2010
Federal Reserve Policy Pushes the U.S. Dollar Ever Closer to Collapse / Currencies / US Dollar
By: Money_Morning
Peter D. Schiff writes: Much of the content of the latest U.S. Federal Reserve statement, released on Sept. 21, echoes the central bank's previous post-credit-crunch pronouncements: There is still too much slack in the economy, interest rates are still going to be near-zero for an "extended period," and the Fed will continue to use payments from its Treasury purchases to buy yet more Treasuries.
Thursday, October 14, 2010
U.S. Dollar Cannot Even Hold 5 Day Moving Average / Currencies / US Dollar
By: Trader_Mark
Dollar bulls are now showing in the 3% range which is a similar reading to Euro bulls in late spring during the Greece crisis ... the euro was roughly 1.18 to the dollar, and people were talking par (1.00). Now the euro just broke over 1.40.Read full article... Read full article...
Thursday, October 14, 2010
How to Diversify Out Of U.S. Dollars With ETFs / Currencies / US Dollar
By: Ron_Rowland
Do you pay attention to the currency markets? You’d better, if you want to survive and thrive in these crazy times.
I have to tell you I am NOT a currency expert. For deeper analysis I refer you to my Money and Markets colleague Bryan Rich. I do, however, know a trend when I see one — and right now the trend in the U.S. dollar is down against every major currency.
Read full article... Read full article...
Wednesday, October 13, 2010
Fed Slashing the U.S. Dollar, The Economic Future is Ugly / Currencies / US Dollar
By: Mike_Whitney
The Fed has has hinted that it will launch a second round of quantitative easing (QE) sometime after its November 2 meeting. The anticipated intervention has been widely criticized, but for all the wrong reasons. Fed chairman Ben Bernanke knows that adding another $1 to $1.5 trillion to bulging bank reserves will likely have little effect on aggregate demand. Nor will it lower unemployment now hovering at 9.7%. It will, however, send a message to trading partners (re: China) that the Fed is serious about reducing destabilizing trade imbalances that siphon-off domestic stimulus, increase unemployment and keep the dollar perilously overvalued. In other words, the Fed's action is the first volley in what is likely to be a protracted currency war that leads to the final demise of Bretton Woods 2.
Tuesday, October 12, 2010
Fed’s Bizarre Tactics Target Weaker U.S. Dollar / Currencies / US Dollar
By: Axel_Merk
Is the Federal Reserve (Fed) experiencing a midlife crisis? Ever since Fed Chairman Bernanke gave a speech in Jackson Hole, Fed behavior can be summarized as, well, bizarre. According to Bernanke, the market’s inflation expectations may be too low. He considers three possible remedies:
Tuesday, October 12, 2010
China’s Plan to Dethrone the U.S. Dollar as Worlds Reserve Currency / Currencies / US Dollar
By: Money_Morning
Don Miller writes: The U.S. dollar is on the way out as the world's top reserve currency. And as Money Morning Chief Investment Strategist Keith Fitz-Gerald predicted more than a year and a half ago, the yuan could be set to replace it.
The greenback has served as the world's benchmark reserve currency since the mid-20th century, but soaring deficits and the U.S. Federal Reserve's loose monetary policy have drained the dollar's value.
Tuesday, October 12, 2010
USD Index Trend Forecast Into Mid 2011, U.S. Dollar Collapse (Again)? / Currencies / US Dollar
By: Nadeem_Walayat
Following the USD Index peak at 89 in early June 2010, the Dollar has been on a near relentlessly slide to the recent low of 76.90 which represents a 14% fall in just 4 months. The fall in the Dollar has again brought out the perma Dollar collapse proponents who have periodically come out to reiterate that the U.S. Dollar as measured by the USD index is destined to crash and burn which is set against the perma deflationists who continuously propose that DEFLATION will result in the Dollar rallying to new highs as a consequence of debt deleveraging, which again was most prevalent just as the U.S. Dollar peaked. Therefore this in-depth analysis will seek to conclude towards a probable trend forecast for the USD index into Mid 2011 (9 months forward).
Monday, October 11, 2010
U.S. Dollar Could Rally In Coming Weeks / Currencies / US Dollar
By: Chris_Ciovacco
When one side of any market gets crowded, it is time to prepare for a possible reversal. While there are numerous reasons to be bearish on the U.S. dollar long-term, there are some short-to-intermediate-term factors that may cause the dollar to stage a counter-trend rally in the coming weeks. As we monitor the dollar, we must also consider the possible impact on “weak dollar assets” such as gold (GLD), silver (SLV), copper (JJC), oil (USO), agricultural commodities (DBA), Australian dollar (FXA), Canadian dollar (FXC), and emerging markets (EEM).
Read full article... Read full article...
Saturday, October 09, 2010
U.S. Dollar in trouble following job’s report / Currencies / US Dollar
By: LiveCharts
An already weak US dollar took another hit early Friday (October 8) morning following the latest report on jobs. According to new Labor Department numbers, 95,000 workers were cut by US employers during the month of September.
The number of new jobless claims was far worse than analysts had predicted. Bloomberg News, for instance, forecasted just 5,000 new job cuts in its survey of economists.
Read full article... Read full article...
Thursday, October 07, 2010
U.S. Dollar At Support, Bounce Likely / Currencies / US Dollar
By: Guy_Lerner
Figure 1 is a weekly chart of the PowerShares DB US Dollar Bull ETF (symbol: UUP).
Read full article... Read full article...
Thursday, October 07, 2010
Does a U.S. Dollar Crash Loom? / Currencies / US Dollar
By: Clif_Droke
Even if you’re not one who tracks currency values, you just knew the dollar was on the ropes again if you bothered to check your mail box. Whenever the dollar shows any sustained weakness the newsletter publishers will send out bulk mail advertisements with sensational headlines like, “Dollar Crash Looms!” or “The Dollar Will Soon Be Devalued and Replaced.” After receiving two such mailings on the same day last week, it was obvious to me what the investor sentiment was like on the greenback. Read full article... Read full article...
Friday, October 01, 2010
Can Nuclear Power Bolster The Wilting U.S. Dollar ? / Currencies / US Dollar
By: Andrew_McKillop
It could seem surprising to ask this question, but desperate problems call forth innovative remedies - and conventional wisdom has it that Barack Obama’s administration is on the economic ropes. The problem is that un-conventional wisdom says the same thing but comes to the same conclusion along different pathways.
Friday, October 01, 2010
U.S. Dollar Race to the Bottom / Currencies / US Dollar
By: Peter_Schiff
Long ago, before economic models developed their current levels of sophistication, it used to be that the goal of a government's economic policy was to bring prosperity to its citizens; in other words, to raise the general level of material comfort, while at the same time reducing the amount of toil required to attain that end.
Read full article... Read full article...
Thursday, September 30, 2010
U.S. Dollar Weakens Against Major Currencies / Currencies / US Dollar
By: LiveCharts
The euro, pound and yen are among major currencies that have taken advantage of a weaker dollar again this week. The dollar, already sluggish in lieu of ongoing unemployment concerns, slid further following the Fed’s announcement last week that it plans to buy US Treasuries to effectively infuse cash into the economy.
Read full article... Read full article...
Thursday, September 30, 2010
U.S. Dollar is on the Edge / Currencies / US Dollar
By: Bob_Kirtley
Every picture tells a story and the below chart shows the US Dollar heading down the tubes in contrast to the ascendancy of gold prices, silver prices and the unhedged mining companies that comprise the HUI. The USD has dropped from ‘88′ to ‘78′ in 4 months, a fall of 11.40%. Just imagine being a cabinet member of a foreign government with a pile of trade generated dollars on your hands, watching them disintegrate before your eyes!
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Thursday, September 30, 2010
Cram Down the Ultimate $100 Trillion Bailout, U.S. Dollar Value Fast Meltdown Ahead / Currencies / US Dollar
By: Chris_Kitze
If you've never heard of a "Cram Down", you are about to get a first hand lesson on the receiving end of the biggest one in history. The words "Cram Down" used to be reserved for companies in bankruptcy or smaller venture backed companies that run out of cash and are recapitalized by "cramming down" the equity held by existing shareholders. The only other alternative to closing the doors is to reorganize the ownership structure to attract new capital and keep it in business. Those who don't have the money to play in the next round -- i.e. don't have a money printing press -- will get wiped out . Having personally experienced a number of these unpleasant affairs in various businesses, you are definitely better off giving than receiving a Cram Down.
Wednesday, September 22, 2010
U.S. Dollar Falls below USD 80, the Currency Crisis Has Begun / Currencies / US Dollar
By: Toby_Connor
It's been my position for a while that Bernanke's monetary policy would eventually create a currency crisis in the world’s reserve currency.
I warned that crisis would begin as soon as it became apparent the dollar was caught in the grip of the 3 year cycle decline.
Monday, September 20, 2010
For a Clear View of the Dollar’s Pressure Watch the Swiss Franc / Currencies / US Dollar
By: Seven_Days_Ahead
The Swiss Franc has enjoyed a strong rally against the Dollar spread over many years with a brief correction around the turn of the millennia. Although a small economy compared to the US, it is well known how strong the Swiss economy is and the standard of living is among the highest in the World.
Saturday, September 18, 2010
Japan Currency Intervenention to Bail Out America / Currencies / US Dollar
By: Peter_Schiff
This week, after the Japanese yen had surged to a fifteen-year high against the US dollar, the Japanese government decided to intervene in the foreign exchange market. To great fanfare, the Bank of Japan initiated a vigorous campaign to buy US dollars, thereby stemming the rise of the yen and pulling up the greenback. The effects were immediate, with the yen falling an astonishing 3% on the day of the announcement. At a time when American politicians are growing increasingly vocal about China's currency manipulations, Washington was strangely silent on the Japanese move. This was completely overlooked by the hawkeyed media.
Read full article... Read full article...
Wednesday, September 15, 2010
Who Owns the U.S. Dollar? / Currencies / US Dollar
By: Pravda
At first glance, this would seem like a rather silly, stupid and pointless question. Why, the average person would answer, the American people own it. Or rather, if one had to get more technical, the American government, which is in turn, being a Republic, owned by the people, one in the same.
Wednesday, September 08, 2010
Elliot Wave Super Cycle, End of the World Deflation Never Had a Chance / Currencies / US Dollar
By: Toby_Connor
Lately we've been hearing a lot of talk about Kondratieff cycles, Elliot Wave super cycle, end of the world, deflation, deflation, deflation.
What the deflationists fail to acknowledge is that in a purely fiat monetary system deflation is a choice not an inevitability. To put it in simple terms, if a government is willing to sacrifice its currency there is absolutely no way deflation can take hold in a modern monetary system.
Read full article... Read full article...
Tuesday, August 24, 2010
U.S. Dollar Threatened by Fannie & Freddie / Currencies / US Dollar
By: Axel_Merk
Social subsidies may make good politics, but all too often bad economics. When Fannie Mae was created in 1938, the seeds were planted for the biggest housing bust the world has ever seen; the going was good while the party lasted for the first 80 years, but ended in the financial crisis of 2008 – the hangover for many still remains. In 2008, many feared the dollar might collapse should Fannie Mae and its smaller cousin Freddie Mac (together here Government Sponsored Entities or GSEs) fail; little did those so fearful know that the government would embark on the largest bailout in history; the U.S. dollar rallied as the GSEs were put into conservatorship, making the previous implicit government guarantee just about as explicit as is possible.
Monday, August 23, 2010
China Ditches the U.S. Dollar, Are Times Changing? / Currencies / US Dollar
By: money_morning_au
Shae Smith writes: We all know the US flogs its debt to anyone willing to buy it. And up until recently, that's been China.Very slowly, over the past twelve months China has been lowering its exposure to US treasuries. In fact, in the last twelve months, they've offloaded about USD$100 billion dollars worth.
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Friday, August 20, 2010
What Problems Lie Ahead for the U.S. Dollar? / Currencies / US Dollar
By: Julian_DW_Phillips
The recent history of the Dollar
China is the largest holder of the U.S. Dollar in its foreign exchange reserves at $2.45 + trillion. This is an impossible number to trade on foreign exchanges. So they're stuck with them until they can spend them. But, as long as the U.S. Dollar is the world's sole reserve currency, these reserves are useful to buy any asset in any country. It is vital that they retain their buying power. Buying power is defined by its exchange rate value and inside the U.S. relates to the inflation rate.
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Friday, August 13, 2010
It's the Third and Final Act for the U.S. Dollar / Currencies / US Dollar
By: LewRockwell
Jeff Fisher writes: The US credit system is in the midst of its third credit crisis since the advent of the Federal Reserve.
The first credit crisis was a deflation that morphed into the Great Depression. (See Rothbard's: America's Great Depression.)
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Thursday, August 12, 2010
How to Profit From the Fed's U.S. Dollar Destruction Policy / Currencies / US Dollar
By: Money_Morning
Keith Fitz-Gerald writes: This week's decision by the U.S. Federal Reserve to buy Treasuries in an effort to prop up borrowing is further proof that the economy is worse off than policymakers would have us believe. But more than that, the Fed's Treasury purchase plan is just one more reason for investors to anticipate inflation and take steps to protect their money from it.
Wednesday, August 04, 2010
EURIBOR, Euro and USD Index / Currencies / US Dollar
By: Ashraf_Laidi
Many have expressed scepticism with strength of the euro at a time when EURIBOR and EUR-Libor rates remained on the rise. EUR 3-month LIBOR stands at 12-month high of 0.83%, up 46% from its March lows. Yet unlike in April-May when rising Eurozone rates resulted from plummeting inter-bank confidence and falling liquidity in the system, the recent strengthening in Eurzone interbank rates has been partly boosted by improved macroeconomic/bank earnings figures, as well as a stabilizing currency.
Monday, August 02, 2010
US Dollar Index Declines as Eurodollar Short Squeeze Ends / Currencies / US Dollar
By: Jesse
Dollar LIBOR is the 'tell' as european banks scramble to obtain US dollars to satisfy customer demand, they drive the 'price' of the dollar higher. The cause of the squeeze was the euro uncertainty based on ratings downgrades on Greece, and the hedge funds determined selling of the euro, which created a sell off in euros.
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Wednesday, July 28, 2010
U.S. Dollar Stress Next? / Currencies / US Dollar
By: Axel_Merk
The crisis is dead! Long live the crisis! In an attempt to address the debt crises swirling around the globe, policy makers have responded with a mishmash of somewhat questionable approaches:
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Wednesday, July 28, 2010
Evolving Global Financial Crisis, U.S. Dollar Heading Down Again / Currencies / US Dollar
By: Bob_Chapman
As we long ago predicted, 2005 was the beginning of the collapse of the housing bubble. The result was financial chaos and a credit crisis that enveloped the US, Europe and eventually the world. Some would like us to believe that materialism and selfishness were the reasons for bubbles, but the causes go far deeper than that. US, UK and European central banks, due to their greed for power, and a desire for world government, allowed debt to get totally out of control.
Thursday, July 22, 2010
Positive Corporate Eearnings Reports Boost U.S. Dollar / Currencies / US Dollar
By: LiveCharts
The dollar has been getting hammered in recent weeks as renewed concerns about the economy caused many to get out of long dollar positions. However, several positive earnings reports to start the week have helped give the greenback a boost against most major currencies.
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Friday, July 16, 2010
Time for U.S. Dollar Bounce as Peter Schiff Forecasts Dollar Rout / Currencies / US Dollar
By: Mike_Shedlock
The time for a dollar bounce is at hand. One reason I make that statement is the single best contrarian indicator on the US dollar has spoken.
Monday, July 12, 2010
Is it time for the U.S. Dollar Index to Rally? / Currencies / US Dollar
By: INO
The dollar index, which put in a strong performance in the first six months of the year, pulled back from its recent highs and appears to be in defensive mode.
If you are not familiar with the US dollar index (USDX), it is an index, or measure, of the value of the United States dollar relative to a basket of foreign currencies.
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Tuesday, July 06, 2010
Floating Exchange Rates, Scheme to Embezzle the Dollar Balances of Surplus Countries / Currencies / US Dollar
By: Professor_Emeritus
Milton Friedman's theory of floating exchange rates, on which the international monetary system has been based since 1971, has given rise to a coercive regime in the sense that IMF statutes forbid member countries to stabilize the value of their currencies. A country attempting to do that is branded "a currency manipulator" and is threatened with trade sanctions. The prohibition is understandable. It is designed to protect the scheme whereby the dollar balances of the surplus countries are stealthily embezzled. It works as follows.
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Wednesday, June 30, 2010
Dollar Hammered by Yen as Job Concerns Remain / Currencies / US Dollar
By: LiveCharts
The dollar has quietly slipped against the yen in this week’s currency trade while remaining mostly flat against other major counterparts including the Euro and British Pound. A less than stellar round of economic reports Monday, Tuesday and Wednesday (June 30) morning have cast a dark cloud over optimism for economic recovery.
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Sunday, June 27, 2010
Is it Time to Bet Against the U.S. Dollar? / Currencies / US Dollar
By: Money_Morning
Keith Fitz-Gerald writes: The U.S. dollar has been one of the world's strongest currencies in the first part of 2010.
And it's no wonder. The Greek debt crisis continues to threaten Europe's overall health, and could unleash an entirely new contagion on the rest of the global economy. Then there's China, - the engine of world growth during much of the financial crisis - which now appears to face the near-term triple threat of slowing growth, accelerating inflation and workplace unrest. Add in concerns about commodity prices and global debt levels and it's easy to see why currency investors have sought the safe haven of the U.S. dollar.
Friday, June 25, 2010
Stock Market SPX Driving U.S. Dollar Trend / Stock-Markets / US Dollar
By: Zeal_LLC
So far this year, the US dollar has enjoyed a strong performance. Traders carefully watch this flagship currency since its fortunes affect virtually everything, from world-trade balances to global financial markets to commodities prices. Given the dollar’s universal impact, understanding its drivers is essential for gaming all kinds of markets.
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Monday, June 21, 2010
U.S. Dollar Top Forecast, How to Play the Bear Side / Currencies / US Dollar
By: Money_Morning
Larry D. Spears writes: In spite of an assortment of economic uncertainties at home, the U.S. dollar has been the star of the currency world for most of 2010. Spooked by persistent and seemingly insurmountable debt problems east of the Atlantic and the specter of unsustainable growth and potential inflation on the Pacific side of the globe, savers and investors fled European and Asian currencies for the relative safe haven of the dollar.
Saturday, June 12, 2010
The U.S. Dollar’s Bull Market Is Just Getting Started! / Currencies / US Dollar
By: Bryan_Rich
The dollar index has surged 20 percent since last November. And this week, it was sniffing around its 2009 high!
That’s pretty impressive, especially given that the 2009 high was driven by an across the board, global flight to the dollar … underpinned by one of the worst combinations of financial crisis and global economic recession on record.
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Thursday, June 10, 2010
U.S. Dollar's Days are Numbered / Currencies / US Dollar
By: Money_Morning
Keith Fitz-Gerald writes: The U.S. dollar has been one of the world's strongest currencies in the first part of 2010, posting double-digit gains through the end of May.
And little wonder. The Greek debt crisis continues to threaten Europe's overall health, and could unleash an entirely new contagion on the rest of the global economy. Then there's China, - the engine of world growth during much of the financial crisis - which now appears to face the near-term triple threat of slowing growth, accelerating inflation and workplace unrest. Add in concerns about commodity prices and global debt levels and it's easy to see why currency investors have sought the safe haven of the U.S. dollar.
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Wednesday, June 09, 2010
New Financial world 2012 and the End of Days Prophecy / Currencies / US Dollar
By: Christopher_Laird
We talked several months ago about how our estimate of when the USD really hits the fan came to be around 2012. That was an accident, not intentional. We mentioned then that we found that very intriguing. That is because the USD is so central to our present financial world that, if it fell apart, the outcomes would be so severe that the financial world, and even just how money works, would be turned upside down.
Monday, June 07, 2010
Why a Rising U.S. Dollar Is Horrible News for China / Currencies / US Dollar
By: DailyWealth
Tom Dyson writes: Hugh Hendry is the famous British hedge-fund manager who predicted the banking crisis and made 40% in 2008. Every few months, Hendry writes a letter to his investors, called the Eclectica Monthly Letter. It's among the best financial commentary you'll find anywhere on the Internet.
Saturday, June 05, 2010
U.S. Dollar Soars Against Crumbling Euro as Hungary Next for Debt Default Bailout / Currencies / US Dollar
By: Mike_Shedlock
The situation in Europe is taking a turn for the worse as the Prime Minister of Hungary says Hungarian economy is in a "very grave situation and talk of a default is not an exaggeration".
Friday, June 04, 2010
The Dollar Euro Bears Should Relax –It’s Coming Their Way / Currencies / US Dollar
By: Seven_Days_Ahead
The Macro Trader’s view: The Dollar has benefited greatly from the Sovereign debt crisis in the Euro zone, as traders sold the Euro amid fears the single currency might actually break up. Initially, traders were concerned the debt mountain built up by mainly by Greece, but also Spain and Portugal posed a serious risk, and the authorities acted to address that.
Wednesday, May 26, 2010
Gold Correction Factors, Hidden Dollar Swap Hammer / Currencies / US Dollar
By: Jim_Willie_CB
Let me start the article with a personal note. For the last six years, my pen has put forth a public article almost every week. Since the end of 2009, a change has come from that pattern, for four reasons. First, articles take time and serve as free volleys sent into cyberspace. They are attempts to raise awareness of a broken corrupt system, to encourage increased investment protection by the investment community, and to make repetitive messages that can sink in. Second, many of the warnings have come true of a monetary system in tatters, an insolvent banking system, a failed central bank franchise system, and a discredited amalgam of sovereign bond markets.
Wednesday, May 05, 2010
America's Failed Dollar Strategy, Greek Debt Crisis Will Slow the Yuan's Advance / Currencies / US Dollar
By: Money_Morning
Keith Fitz-Gerald writes: Poor Tim Geithner.
Pushed by angry U.S. legislators anxious to brand China as a "currency manipulator," the U.S. Treasury secretary tried to strong-arm China into revaluing the yuan - all because of an assumption that the Asian giant wasn't allowing its currency to appreciate.
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Monday, May 03, 2010
U.S. Dollar Doomsday Crash 2010, Protect Your Wealth With Gold / Currencies / US Dollar
By: Larry_Edelson
If you think that what’s happening to the bankrupt economies of Greece, Portugal, and Spain are merely a sideshow in this great financial crisis, it’s only fair to warn you:
The facts I reveal in this bulletin are shocking … shameful … and, to anyone who cares as much about this nation as I do, deeply disturbing.
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Thursday, April 29, 2010
U.S. Dollar Mixed After Fed Leaves Interest Rates Unchanged / Currencies / US Dollar
By: LiveCharts
The Fed concluded its Board meeting Wednesday afternoon (April 28) by announcing that it was leaving interest rates unchanged with the key funds rate near zero per cent. The announcement is not surprising given most of the Central Bank leaders’ commitment to leave rates low for an ‘extended period’, but it is interesting to see following a month long crusade by a few economists and leaders to advocate for raising rates to stave off inflation.
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Friday, April 23, 2010
U.S. Dollar Shines After Upbeat Unemployment and Housing News / Currencies / US Dollar
By: LiveCharts
Two very positive reports on the economy Thursday (April 22) morning have helped strengthen the dollar against major currencies and commodities. Home sales were relatively strongly during the month of March and last week’s new jobless claims fell by 24,000 from the week before, in line with analyst estimates.
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Thursday, April 22, 2010
The Devaluation of the U.S. Dollar, Gold's Springboard / Currencies / US Dollar
By: Jim_Willie_CB
The need is urgent. The recognition is broad. Supply & Demand of American debt paper demand price adjustment. The USGovt avoids the topic like the plague. The billboard fact of the matter, as USCongressional politicians like to say, is that the USDollar must be take a downward revaluation of significant magnitude in order to even begin to offer a semblance of equilibrium and balance. Natural forces are aligned against those in power who resist the adjustment. Imbalances are too magnificent. They invite continued global revolt and financial insurrection.
Monday, April 19, 2010
U.S. Dollar Devaluation, Phase Two / Currencies / US Dollar
By: Larry_Edelson
Recently, I’ve issued several warnings. Chief among them …
That investors everywhere are waking up to their leaders as being nothing more than emperors with no clothes. Reckless spenders with not a single clue of what they’re doing and full of false hopes.
Sunday, April 18, 2010
Can U.S. Dollar Remain the World's Reserve Currency? / Currencies / US Dollar
By: Submissions
Jane D'Arista: US dollar as world's reserve currency is great if you own a bank; not much good for Main St.
Friday, April 16, 2010
U.S. Dollar Wins as $18 Billion Jobless Benefits Bill Becomes Law / Currencies / US Dollar
By: LiveCharts
The dollar made gains on Thursday (April 15) against most major currencies and also put a wrap on driving oil prices and gold prices. The dollar’s strength is due partly to the rapid passing of an $18 billion extension of unemployment benefits for hundreds of thousands of people that have been struggling after their state-paid unemployment benefits ran out.
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Thursday, April 15, 2010
U.S. Dollar Grave Concerns Remain / Currencies / US Dollar
By: Axel_Merk
We continue to see risks ahead for the U.S. economy, and in particular, the U.S. dollar. Significant global imbalances remain – indeed; the recent global financial crisis has served to exaggerate many of these imbalances. Of grave concern is the unsustainable Federal budget deficit, which may have morphed out of control, with no signs of government constraint over the near-term. The U.S. current account deficit remains at a high level, and will likely weigh on the dollar for years to come.
Thursday, April 01, 2010
U.S. Dollar Climbing Against Yen / Currencies / US Dollar
By: Steven_Vincent
Everyday this week (so far) the USD has climbed against the Yen. Today's action, in particular, is impressive because the USD has climbed, hurdled and sustained above its prior significant recovery rally peak at 93.78, which was established in Jan. The fact that the USD is so relatively strong vis-à-vis the Yen likely reflects the perceived and actual strengthening of the US economy compared with Japan. Tomorrow's Employment data (non-farm payrolls) could provide the catalyst for another thrust in USD/Yen.
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Friday, March 26, 2010
U.S. Dollar Index Going Higher? / Currencies / US Dollar
By: INO
It has been a while since we looked at the dollar index, so today we decided to dissect this market and look at it step-by-step.
What is happening in this market is very interesting and I think you will see in this short video just what we have in mind.
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Thursday, March 25, 2010
Will the U.S. Dollar Continue Rallying? / Currencies / US Dollar
By: Christopher_Laird
Now that we see the USD rising again over 81 on the US Dollar Index (USDX) the question becomes will we possibly see 91 USDX sometime in 2010?
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Thursday, March 25, 2010
U.S. Dollar Gains on Healthcare Reform and Economic Hope / Currencies / US Dollar
By: LiveCharts
Sparked by continued optimism about the economic situation and enthusiasm surrounding the passing of the massive healthcare system overhaul, the dollar has surged this week against major currencies and commodities.
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Wednesday, March 24, 2010
The U.S. Dollar Rules / Currencies / US Dollar
By: Steve_Betts
Life is like a box of chocolates. You never know what you’re going to get! - Forrest Gump
Today is a continuation of yesterday in the sense that we are seeing some markets breakout and define their new directions. Yesterday the Dow posted a triple digit gain and closed well above what should have been strong resistance at 10,817, and early this morning we saw the US dollar rocket thru what had been strong resistance at 81.32. Right now the June US dollar futures contract is trading up .92 at 82.03, and although I can’t be sure where it will close, I feel fairly confident in saying that it will close above 81.32. The significance of this move is important and implies a lot more than the fact that the dollar is currently “strong”.
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Wednesday, March 24, 2010
U.S. Dollar Trend and China News Impact on Gold / Currencies / US Dollar
By: Przemyslaw_Radomski
In the March 12-th commentary we've discussed the influence that China might have on the precious metals market and since the feedback was very positive, we decided to provide you with a follow-up.
April 15th is the date to watch. That’s when the U.S. Treasury Department is mandated by law to issue a report identifying nations that “manipulate the rate of exchange between their currency and the United States dollar for purposes of …gaining unfair competitive advantage in international trade.”
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Friday, March 19, 2010
The U.S. Dollar Index Rally Move Isn't Done / Currencies / US Dollar
By: Guy_Lerner
I will keep this brief as my rational for the new found strength in the Dollar Index is more observational than "scientific". Some things you just can't back test or measure in a methodical fashion or I just haven't figured out how to do it.
Monday, March 15, 2010
Is The U.S. Dollar Reversing Again? / Currencies / US Dollar
By: INO
It's been a while since we did a video on the euro/dollar relationship. This relationship may be reversing again based on recent price action. In today's short video I point out some of the changes we see happening in this market.
Sunday, March 14, 2010
The Four Stages of the Prospective U.S. Dollar Bull Market / Currencies / US Dollar
By: Bryan_Rich
Since last November, the dollar has climbed steadily against a basket of currencies — most notably against the euro. And based on my analysis, I think it’s just the early stages of this trend.
In fact, for many of the reasons I’ve discussed in past Money and Markets columns, the weight of evidence suggests that we’ve likely seen the bottom in the dollar, with a multi-year bull market ahead.
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Saturday, March 13, 2010
Marc Faber Says Cash is High Risk, U.S. Dollar Will Eventually Fall to Zero / Currencies / US Dollar
By: Submissions
Marc Faber, publisher of the Gloom, Boom & Doom Report, reveals his views on the inflation/deflation, of the US dollar. Marc says, cash and treasury bond will lose and the winners will be foreign currency and commodities. Equities have some power to hedge inflation.
Friday, March 12, 2010
U.S. Dollar Bulls Beware / Currencies / US Dollar
By: Peter_Schiff
By late 2009, as the U.S. dollar flirted with multi-year lows against most foreign currencies, big investment players crowded into trades that shorted the greenback. Commentators noted that the anti-dollar momentum had taken on a life of its own and that the trade had become too crowded. It is true that markets have a nasty tendency to move against the crowd. When a lot of traders agree on a particular trade, it's more likely that in the short-run the opposite trade will be a winner.Read full article... Read full article...
Wednesday, March 03, 2010
Chinese Yuan v The U.S. Dollar: In The Case of Global Reserve Currency / Currencies / US Dollar
By: Dian_L_Chu
The practice of accumulating dollar reserves by the central banks has become more pronounced after the 1997 Asian financial crisis, when currency speculators hastened a balance of payments crisis in Thailand, Indonesia and South Korea by demanding dollars for local currency, depleting the central banks’ dollar reserves.
Wednesday, March 03, 2010
U.S. Credit Turns to Debt, Will The U.S. Devalue The Dollar? / Currencies / US Dollar
By: Darryl_R_Schoon
The ability to wage war on credit gave the West an insurmountable advantage over the East. The West’s credit, however, has now turned to debt and the West has lost its advantage. But the return to parity will not be easy.
The three hundred year economic expansion fueled by debt-based capital markets is coming to an end and with it, the hegemony of the West over the East. During that period, debt-based paper money propelled first England then the US to world dominion because of the ability to wage war on credit and to print money ad infinitum.
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Monday, March 01, 2010
Falling U.S. Dollar, Buoyant Equities / Currencies / US Dollar
By: Mike_Paulenoff
While the e-mini S&P 500 appears to be consolidating at the top of its upmove from last Thursday’s pivot low at 1084.59, the DXY (cash dollar index) is in the process of giving back most of its upmove from earlier today. As of this moment, the combination of a falling dollar and buoyant equity indices argues for continued upside in the commodity-related names and indices into the closing bell – especially in the metals and mining names, including ETFs such as the GDX and GLD.
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Wednesday, February 24, 2010
Still Living in a U.S. Dollar Centric World / Currencies / US Dollar
By: Justice_Litle
Abstract: For all its fatal flaws, the $USD is still king of the hill – and for now at least, the focus of investor optimism has shifted to the United States.
With apologies to Mark Twain, the dollar’s death has been greatly exaggerated. We can see this with a simple glance at the $USD chart below.
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Sunday, February 21, 2010
U.S. Dollar Entering Consolidation Phase / Currencies / US Dollar
By: David_Petch
It appears that we are either just entering the consolidation phase of the US dollar index for the next 6 to 8 weeks or there is one final move to the upside before entering the consolidation phase. Every market around the globe is experiencing difficulty in one form or another which is associated with high debt levels.
Sunday, February 21, 2010
U.S. Dollar Fool's Gold Rally, Protect Yourself Against Worthless Fiat Paper / Currencies / US Dollar
By: Joseph_Russo
Although in truth, it is valueless paper; in our collective reality, it is real and has legal purchasing powers. Despite such enslavement by government decree, it does not stop us from trading it, and hedging against its true intrinsic value.
The fool's gold to which we refer is none other than the world's reserve currency, the $USD.
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Friday, February 19, 2010
U.S. Dollar Still Looks Strong Against the Euro / Currencies / US Dollar
By: Seven_Days_Ahead
The Macro Trader’s view:
The current Dollar rally began late in 2009 and was driven initially by some strong US economic data. But even when that data turned a little mixed, the Dollar continued to rally.
Friday, February 12, 2010
US Dollar Bear Market Rallies / Currencies / US Dollar
By: Zeal_LLC
In recent months, the US dollar has been surging higher. This impressive strength is a radical change from last year’s relentless grind lower. Across the globe, the majority of analysts expect this run higher to persist for a variety of reasons. This prospect is troubling traders of commodities and commodities stocks.
Sunday, February 07, 2010
Win-Win Scenario for the U.S. Dollar / Currencies / US Dollar
By: Bryan_Rich
The debt problems in Dubai threw a wrench in the happy-go-lucky risk trade of last year. And since then, the perception of the state of the global economy has been unraveling.
All of the sudden, the world isn’t as safe a place as was thought just months ago: Global stock markets are falling, commodity markets have cracked, and foreign currencies are back in decline.
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Saturday, February 06, 2010
The U.S. Dollar / Currencies / US Dollar
By: Sol_Palha
"When you get into a tight place and everything goes against you, till it seems as though you could not hold on a minute longer, never give up then, for that is just the place and time that the tide will turn." ~ Harriet Beecher Stowe, 1811-1896, American Novelist, Antislavery Campaigner
This is one topic we spoke of extensively over the past few months and we are going to list excerpts from some past updates with emphasis on the Dec 16th market update.
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Friday, February 05, 2010
More Upside for U.S. Dollar / Currencies / US Dollar
By: Mike_Paulenoff
The DXY (cash dollar index) continues to leap higher in reaction to uncertainties about the sovereign debt conditions of a subset of countries referred to as the PIIGS. Let's notice that after emerging to the upside on 1/28 above 23.20, the PowerShares DB U.S. Dollar Index (NYSE: UUP) has rocketed 2% in the past 6 sessions amidst constant negative news about widening Greek, Spanish, and Portugese CDS spreads.
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Tuesday, February 02, 2010
What’s Next for the U.S. Dollar? / Currencies / US Dollar
By: Axel_Merk
The Federal Reserve’s Open Market Committee (FOMC) is sticking to its course for phasing out the additional purchases of Mortgage Backed Securities (MBS). Notably however, in its statement released January 27th, reference to an improving housing market was omitted after recent bad news about the sector.
Monday, February 01, 2010
U.S. Dollar In Jeopardy Of Losing Its Value / Currencies / US Dollar
By: FutureOfDollar
The World is concerned that the dollar cannot play the role of the main reserve currency any longer after the financial crisis sparked by the collapse of the U.S. mortgage market led to the worst global recession since the 1930s. The Government’s stimulus packages, financial bailouts, the need to support liquidity in Treasuries, keeping interest rates at the lowest level under the circumstances of low economic growth, high unemployment and low tax collection make it print more dollars. This leads to a high risk of substantial inflation, or hyperinflation in a long-run.Read full article... Read full article...
Sunday, January 31, 2010
Fed’s Currency Swap Lines, A BIG deal for the U.S. Dollar / Currencies / US Dollar
By: Bryan_Rich
The Fed met this week on monetary policy. It was a bit of a snoozer. What wasn’t a snoozer, however, was what they’ve included in their recent monetary policy statements regarding currencies.
Most market participants have been entranced by the Fed’s language about their target interest rates …
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Wednesday, January 27, 2010
U.S. Dollar Gains Against Major Currencies and Commodities / Currencies / US Dollar
By: LiveCharts
dollar has grown stronger to start this week, gaining ground against most major currencies and commodities, the Japanese yen, being the prominent exception.
The gold price spot rate is at $1,091, after a Tuesday New York Mercantile Exchange close just below $1,100. The gold rate is well below its all time high of $1,218.25 near the end of 2009.
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Monday, January 25, 2010
U.S. Dollar Giant Double Top Pattern Implies Bearish Outlook / Currencies / US Dollar
By: Howard_Katz
KISS is an acronym for the popular expression, keep it simple, stupid. I don’t particularly like the idea of calling others stupid. I have found that people who do so usually have an inability to express themselves, and this is because they themselves are stupid. Most people I have met in this world can do at least something better than I can, and I can benefit from their expertise. (This is what the economist calls division of labor and specialization.) At any rate, the simple part is very good. Most great ideas are simple (the 10 Commandments, Newton’s laws of motion).
Saturday, January 23, 2010
Why the U.S. Dollar Rally Has Legs / Currencies / US Dollar
By: Bryan_Rich
In December I wrote a Money and Markets column making the case for a bottom in the dollar. And since then the evidence supporting that thesis has grown. I also said there are plenty of ugly currencies out there that will likely take scrutiny away from the dollar. In fact, in recent weeks I outlined the blemishes burdening three key major liquid currencies. And those blemishes are now being exposed …
Wednesday, January 20, 2010
U.S. Dollar Bottoming Against Yen / Currencies / US Dollar
By: Mike_Paulenoff
Let's have a look at the BIG picture chart structure of Dollar vs. Yen, which argues for an approaching upmove in the USD (Yen weakness). Purely from an intermediate-term technical perspective, the pattern carved out by the USD/Yen since early 2007 into late 2009 has the right look of a completed downmove in the USD versus the Yen.
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Wednesday, January 20, 2010
How Can Localities Cope if the U.S. Dollar Crashes? / Currencies / US Dollar
By: Richard_C_Cook
A “run on the dollar,” or any currency, for that matter, takes place when the currency is losing its value. This happens when a country’s debt becomes so great that there is danger of a major default–that is, large scale or even national bankruptcy. At that point, people whose wealth is in that currency, or in relatively liquid assets denominated in the currency, try to get rid of them as fast as they can. Today, that includes foreign countries like China or Russia that are holding large quantities of U.S. government bonds.
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Wednesday, January 20, 2010
U.S. Dollar Index Expected to Rise During 2010 / Currencies / US Dollar
By: Guy_Lerner
In 2009, investors were down on the US Dollar, and anytime the US Dollar was down, everything else was up. But as we head into 2010, the US Dollar appears to have found support above the all time lows made around $70 in March, 2008 and reversed higher. There is reason to believe that from a technical perspective this reversal is for real, and it is real enough that it should have implications for other markets.
Tuesday, January 19, 2010
Is a Run on the U.S. Dollar Starting Soon? / Currencies / US Dollar
By: Richard_C_Cook
Yes, I think a run on the dollar is coming. A lot of people are saying this, including a man named Dmitri Orlov who recently came out with a book entitled “Reinventing Collapse” that compares the crash of the Soviet Union in the 1990s with what he believes is coming here within a short period of time. I heard that at the last meeting of the G20 the U.S. asked Russia and China if they would agree to an orderly devaluation of the dollar, and the answer was “Nyet.”
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Monday, January 18, 2010
How to Profit From the Falling U.S. Dollar / Currencies / US Dollar
By: Larry_Edelson
As many of you already know, I am very bearish on the dollar.
And in just the past four weeks of trading — starting right before the holidays and continuing into the new year — the benchmark U.S. Dollar Index (DXY) has lost nearly 9% of its value against the world’s major foreign currencies.
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Monday, January 18, 2010
2010 To Mark the Demise of the U.S. Dollar / Currencies / US Dollar
By: Captain_Hook
Well, that was another year, and decade, one that was characterized by exacting prices for almost a century of easy money led by the Fed. And it continues today with bubble dynamics in economies and markets considered a normal expectation these days, explaining why gold was top performer over the past 10-years, and should remain in that spot moving forward as well baring silver’s remonetization. That is to say, anybody, like Time Magazine, expecting smooth sailing over the next 10-years is most likely barking up the wrong tree with all the problems that still lie ahead for us, problems ranging from increasingly unmanageable debts and deficits, which are a result of the big turn in the credit cycle in 2008, to the pending demise of the dollar ($) as the world’s reserve currency
Wednesday, January 13, 2010
Dollar Struggles Again After Latest Jobs Data, Housing Market News / Currencies / US Dollar
By: LiveCharts
Exchange rates have not been favorable for the US dollar in the early part of the week as the greenback has been hit again following disappointing news of late on the job and housing sector fronts.
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Friday, January 08, 2010
U.S. Dollar to be Hit Hard In 2010 / Currencies / US Dollar
By: Pravda
The feast of cheap and limitless liquidity could not avoid interfering with the international currency market. While in the first six months of the year the crisis was beneficial for the US dollar, in the second half of the year speculators took it out on the dollar over and above. This year is expected to continue weakening of the American currency that dropped to the level of $1.6 for one Euro in 2009.
Thursday, January 07, 2010
Gold or U.S. Dollar? / Currencies / US Dollar
By: Mike_Paulenoff
The chicken or the egg? Which is which: gold or the dollar? My work is telling me to watch the $$$, and the rest will take care of itself. From a technical perspective, let's notice that the daily dollar index (DXY) has been consolidating at the high end of its Nov-Dec upleg, which has taken the form of a bullish continuation pattern. If my perception of the pattern proves accurate, then the DXY is on the verge of upside acceleration that will resume its Nov-Dec rally-- on the way to 80.00 next.
Tuesday, December 29, 2009
U.S. Dollar Collapse 2012 / Currencies / US Dollar
By: Christopher_Laird
Devolution of the USD 2012? - As the first public article for me just before 2010, it seems appropriate for me to comment on one of the biggest stories we will be all facing – that is an end game of events leading to the end of the USD. The implications for the world are no less than Armageddon – like. I mean it.
Sunday, December 20, 2009
U.S. Dollar Grinds Higher after Convincing Breakout / Currencies / US Dollar
By: Mark_Brown
Sometimes, as traders, we need to stop and do a double-take, especially when a long-depressed commodity or currency suddenly begins to rise sharply. In the case of the US Dollar index (DX), there were most likely thousands of double-takes, as disbelieving traders took a second, third and even a fourth glance at this key currency’s daily and weekly charts. Yes, this Dollar breakout appears to be the real deal, one destined to run even higher in the weeks just ahead, and it might pay for us to invest a little time now and see if we can anticipate the Dollar’s next area of significant overhead resistance.
Sunday, December 20, 2009
Has the U.S. Dollar Bottomed? / Currencies / US Dollar
By: Bryan_Rich
For much of 2009, the dollar has been the Tiger Woods of global currencies. There has been a relentless snowball of negative sentiment. And for a period of time, seemingly everyday something new, bigger and more shocking about the buck was being circulated through the media.
As Tiger can attest, when it rains, it pours …
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Friday, December 18, 2009
U.S. Dollar Rally for Real? / Currencies / US Dollar
By: Sy_Harding
In this column in September, I wrote of how the U.S. dollar has been in a long bear market since 2001, while investors and traders were acting as if the dollar’s decline had just begun this year. Betting against the dollar had become the talk of the financial media, with “Sell the dollar, buy the Euro” the most popular advice from analysts.
Friday, December 18, 2009
US Dollar Bulls Stirring, But Not Yet Wide Awake / Currencies / US Dollar
By: Seven_Days_Ahead
Over the last few months the US Dollar Index has continued to grind lower, recently reaching/eroding a long term 76.4% ‘support’ level. Subsequent to this there has been a positive reaction, with s/term bull signals beginning to mount.
Thursday, December 17, 2009
Has the U.S. Dollar Bottomed? / Currencies / US Dollar
By: INO
We have made a number of videos on the dollar index and in my latest video I show you some of the aspects we outlined in our previous video that have come to pass.
Wednesday, December 16, 2009
U.S. Dollar Remains Near Two Month High / Currencies / US Dollar
By: LiveCharts
The US dollar fell back a bit Wednesday (December 16) morning as analysts believe the Fed is likely to leave its key interest rate at zero. New data on consumer prices show little change after 10 months of increases, suggesting inflation is not a big enough concern at this point to warrant an immediate rise in rates.
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Wednesday, December 16, 2009
U.S. Dollar Index, End to the Downtrend? / Currencies / US Dollar
By: Guy_Lerner
Figure 1 is a weekly chart of the Dollar Index (symbol: $DXY). In our last look at the greenback I stated: "in all likelihood, this is the end of the down trend for the Dollar Index", and this is now fact! A weekly close over the high of the positive divergence bar (i.e., price bars marked in pink within gray ovals) has stymied the down trend. The highs of these positive divergence bars should act as resistance on the way back up.
Saturday, December 12, 2009
What Could Lift the U.S. Dollar? / Currencies / US Dollar
By: Bryan_Rich
The most recent employment data in the U.S. came in significantly better than what was expected. And the financial markets reacted in a different way this time. Interest rates went screaming higher, the stock market surged, gold fell and the dollar shot up.
Tuesday, December 08, 2009
The Coming Cyclical Collapse of the U.S. Dollar / Currencies / US Dollar
By: Bob_Clark
Ask not for whom the bell tolls
We are having our first winter blizzard, the windows were rattling all night. There are knee deep snow drifts in places. When I went out to feed the horse this morning, I found a coyote asleep in the hay. I guess he is a little bit deaf because he didn't jump up until I was on top of him. I don't know who was more scared. It was a most pitiful thing to see. Skin and bones. Mottled patchy fur with a hairless tail, except for a little tuft on the end.
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Monday, December 07, 2009
U.S. Dollar Index Bottom? / Currencies / US Dollar
By: Guy_Lerner
It's Monday, and there is no better place to start the week with the only asset that has mattered for the past 8 months - the Dollar. Although Friday's job report brought a spike in the Dollar Index, the down trend remains intact. However, the likelihood of the downtrend ending leading to a counter trend rally or consolidation is now as high as it has been in months.
Wednesday, December 02, 2009
How Could I Forget the Only Market Chart that Matters? / Currencies / US Dollar
By: Guy_Lerner
Figure 1 is a weekly chart of the Dollar Index. This is the same chart I have been showing since June, 2009 - prior to the Dollar Index unraveling. Last week there was a weekly close (price bar with down red arrows) below the low of the immediate positive divergence bar at 75.20. Closes below positive divergence bars (price bars highlighted in pink with gray oval) tend to lead to selling as traders expecting a reversal close out their losing positions. The down trend continues, and as the data shows, there is a high likelihood of the downward move accelerating.
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Wednesday, December 02, 2009
U.S. Dollar Implications of Dubai Debt Jitters / Currencies / US Dollar
By: Axel_Merk
Thanksgiving eve, Dubai World, Dubai’s state-owned development company, rattled the world by releasing a statement that it seeks a moratorium on its debt and interest payments until May 2010. The credit crisis is not last year’s nightmare - it has merely entered a new phase. We look at the implications for the U.S. dollar.
Monday, November 30, 2009
Run on the U.S. Dollar ....Soon / Currencies / US Dollar
By: DailyWealth
Porter Stansberry writes: It's one of those numbers that's so unbelievable you have to actually think about it for a while...
Within the next 12 months, the U.S. Treasury will have to refinance $2 trillion in short-term debt. And that's not counting any additional deficit spending, which is estimated to be around $1.5 trillion.
Monday, November 30, 2009
U.S. Dollar Set To Surprise by Falling to Test All Time Low / Currencies / US Dollar
By: Captain_Hook
The dollar ($) is set to surprise the few remaining speculators that think it can't happen by falling further straight away, possibly taking it down to test all time lows at 71. Here, we are talking about the possibility of a more disorderly decline in the $ developing as a result of gold progressing into a parabolic rise, primarily predicated on year-end hedge fund buying into December. First it will be this that takes precious metals higher into year-end, and then the rally could continue for numerous other reasons, not the least of which being a lack of physical, which appears to be a growing concern.
Saturday, November 28, 2009
U.S. Dollar Index May Hold Some Nasty Surprises for Carry Trade Participants / Currencies / US Dollar
By: Brian_Bloom
Summary and Conclusions -
The US Dollar Index is showing signs of wanting to bottom out and this has seriously adverse implications for those who have been speculating with US Dollar carry trades. It may also be pointing to the imminent resumption of the Primary Bear Trend in Industrial Equities. The gold price may consolidate at these levels within the context of a Primary Bull Market. i.e. Both the US Dollar Index and the Gold Price might be argued to be in Primary Bull Markets.
Friday, November 27, 2009
The Day the U.S. Dollar Collapsed / Currencies / US Dollar
By: John_Galt
The following story is a potential fictional time line for the day the dollar died. I hope not to instill fear or loathing but to give everyone some perspective on a POSSIBLE outcome which does not really take much of a reach to come to any conclusion. Despite popular belief and promises from those who wish to rob you of your savings and investments, the collapse of the dollar might just be an event measured in hours, not days as their control is not what it seems….
Thursday, November 26, 2009
Yen Hits 14 Year High vs U.S. Dollar as Nikkei Sinks / Currencies / US Dollar
By: Mike_Shedlock
Inquiring minds are noting a selloff in equity market futures as the Yen rallies and the dollar sinks further.
Monday, November 23, 2009
What Happens When a Carry Trade Blows Up? / Currencies / US Dollar
By: Graham_Summers
As I’ve been pounding the table for the last several months, the markets have been operating based on an “inflation” trade mentality. By this, I mean that we’re in a “Dollar down/ everything else up” environment.
This is to be expected. Fed Chairman Ben Bernanke has been doing everything he can to re-inflate the markets, hoping he can counteract the deflationary impact of the Housing Crash/ Credit Bubble bursting.
Read full article... Read full article...
Saturday, November 21, 2009
The Fed is Foolishly Weakening the U.S. Dollar / Currencies / US Dollar
By: Peter_Navarro
Has America's Federal Reserve become the single greatest obstacle to global economic recovery? Central bankers around the world are increasingly asking this question as the American greenback continues its Fed-inspired decline and damages the export-driven growth of countries from Latin America and Asia to Europe.
Friday, November 20, 2009
The Weak U.S. Dollar Was Supposed to Fix Everything / Economics / US Dollar
By: Michael_Pento
The inflation redux plan from the Fed and Washington is based on zero interest rates, massive deficits and quantitative easing, which are designed to bring down the value of the U.S. dollar and create inflation. That is the truth, despite promises from Treasury Secretary Geithner that he really means it this time when he says the U.S. has a strong dollar policy--the irony being, that he says this while concurrently begging the Chinese to allow the dollar to fall vs. the Renminbi. But their hopes placed in a lower dollar are woefully misguided and all that is being accomplished is to put into place the same conditions that brought the global financial system to its knees.
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Tuesday, November 17, 2009
What Strong U.S. Dollar Policy? / Currencies / US Dollar
By: Axel_Merk
"I believe deeply that it's very important to the United States, to the economic health of the United States, that we maintain a strong dollar," U.S. Treasury Secretary Geithner recently told reporters. Indeed, it seems to be a pre-requisite to apply for the position of U.S. Treasury Secretary to be able to utter these words. In the meantime, the greenback seems to be falling further and further; the 'strong dollar commitment' appears to have become a farce. Just what, then, would be a strong dollar policy?
Tuesday, November 10, 2009
U.S. Dollar Meltdown / Currencies / US Dollar
By: Mike_Shedlock
I had the pleasure of reading a final finished copy of The Dollar Meltdown by Charles Goyette this past week.
Congressman Ron Paul offers an opinion on the front cover to which I certainly concur: "Goyette does a great job explaining why America faces a looming financial crisis and outlines commonsense strategies for individuals to protect themselves and their families. This book truly is a must read."
Friday, November 06, 2009
The Hated U.S. Dollar Might Rally / Currencies / US Dollar
By: Graham_Summers
Few essays I’ve ever written have drawn as much ire as the ones in which I propose that the US Dollar might rally. The US Dollar is indeed hated, so hated that people will hate you just for considering that it might rally.
Thursday, November 05, 2009
Who Cares About the U.S. Dollar? / Currencies / US Dollar
By: Axel_Merk
Who cares about the dollar? It turns out quite a few do, except for those who could put it on a course to long-term recovery. First of all, you should care, as the purchasing power of your dollar savings is at risk when the dollar plunges versus other currencies. Let’s examine a couple of groups, what they have at stake and how influential they may be.
Thursday, November 05, 2009
U.S. Dollar Drifts Ahead of U.S. Unemployment Rate / Currencies / US Dollar
By: ForexPros
The Unemployment Rate is a measure of the percentage of the total labor force that is unemployed but actively seeking employment and willing to work in the US.
A high percentage indicates weakness in the labor market. A low percentage is a positive indicator for the labor market in the US and should be taken as positive for the USD.
Wednesday, November 04, 2009
When the U.S. Dollar Rallies, the Stock Market Will Crash / Currencies / US Dollar
By: Mike_Whitney
Interest rates. The Fed does not need slinky women in plunging necklines to peddle money. All it needs is low interest rates. When rates are pushed lower than the rate of inflation, the Fed provides a subsidy for borrowing. This is not as hard to grasp as it sounds. If I offered to give you $1.00 for very 90 cents you gave me in return, you would buy as many dollars from me as you could.
Wednesday, November 04, 2009
Dethroning of the U.S. Dollar Will Happen Sooner Than You Think / Currencies / US Dollar
By: Money_Morning
Keith Fitz-Gerald writes: By now virtually every investor has heard the argument that the U.S. dollar is slated to lose its status as the global reserve currency. And that’s good – as far as it goes.
What’s bad is that many of these investors have yet to latch onto the fact that this could happen much sooner than many people realize and in a manner that will catch most by surprise.
Read full article... Read full article...
Tuesday, November 03, 2009
U.S. Dollar Upside Alert / Currencies / US Dollar
By: Marty_Chenard
The Dollar could fool everyone ...
Just as Foreign countries are diversifying out of the Dollar ... just as the Dollar's carry trade is being overdone, the Dollar is poised to make an upside run.
Read full article... Read full article...
Monday, November 02, 2009
U.S. Dollar Meltdown / Currencies / US Dollar
By: LewRockwell
Doug French writes: The current investment climate is more perilous than ever. The Federal Reserve’s balance sheet continues to grow stuffed with the dubious paper purchased from the too-big-to-fail banks that are now wards of the state. The music stopped and there were no chairs, but the Fed and the Treasury snapped their fingers and trillions of dollars later the chairs appeared, the band played on and the banks live on. The taxpayers are now the not-so-proud owners of AIG, General Motors, Fannie and Freddie and dozens of banks. Where did the money come from? Out of thin air.
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Monday, November 02, 2009
Is the U.S. Dollar About To Crush Stocks? / Currencies / US Dollar
By: Graham_Summers
Long-time readers know that I’ve begun to develop a love/hate relationship with the US Dollar. On one hand I believe the US currency is horribly flawed given our unserviceable debt load and the Fed’s profligate spending.
Monday, November 02, 2009
Do You Really Want To Short The U.S. Dollar? / Currencies / US Dollar
By: Andrew_Abraham
Lets face it…everyone seems to hate the US Dollar…Seems every Forex trader wants to be short the US dollar. So many think the US dollar will crash ( maybe it will..who knows).. but what I do know as a commodity trader..when too many traders are on the other side of the boat… something happens. My short on the US dollar was recently taken out.
Read full article... Read full article...
Sunday, November 01, 2009
U.S. Dollar Bull Market Scenario Update / Currencies / US Dollar
By: Nadeem_Walayat
The most recent price action has seen the U.S. Dollar manage to hold onto USD 75 support that has propelled the dollar back through 76, however the trend over the past 2 months has been weak. The last update of the US Dollar bull market scenario of mid August 2009 called for a rally that targets USD 90 by the end of this year as long as 75 holds, as indicated by the original chart below :
Friday, October 30, 2009
U.S. Dollar the Coca-Cola of Monetary Brands says James Grant / Currencies / US Dollar
By: DailyWealth
Chris Mayer writes: The U.S. dollar is a sort of monetary brand.
And like any other brand, it can fall out of favor. Even iconic brands can rapidly lose their "must-have" cachet. Sometimes, a brand can disappear entirely, as did Pan American Airways or "Members Only" jackets. But there is always something else waiting to take its place. So it is with the U.S. dollar, a brand making lows in the financial markets.
Wednesday, October 28, 2009
U.S. Dollar Future and a World Currency / Currencies / US Dollar
By: Thomas_R_Eddlem
Some very big questions
With the USD fluttering around 76 on the US Dollar currency basket index, the USDX it’s a good time to pontificate on its near term future, and longer term future. Gold’s big rally since 2002 begs a lot of major questions.
Read full article... Read full article...
Wednesday, October 28, 2009
Will the U.S. Dollar Still be Worlds Reserve Currency in Five Years Time? / Currencies / US Dollar
By: Mike_Whitney
Interview with Menzie Chinn
Mike Whitney: What is the present composition of reserve holdings in central banks--and has there been a substantial falloff in US dollar reserves in recent years? (Are central banks ditching the dollar?)
Read full article... Read full article...
Tuesday, October 27, 2009
U.S. Dollar Index Elliott Wave Analysis Update / Currencies / US Dollar
By: Alistair_Gilbert
One of the wonderful things about watching and trading currencies is the frequency with which they comply to Fibonacci retracements. Part of the reason is that the foreign exchange market is the most liquid and the most widely traded on a global basis, so Elliott Wave analysis, which is based on mass crowd psychology, works best.
Monday, October 26, 2009
The War on the U.S. Dollar / Currencies / US Dollar
By: Martin_D_Weiss
Last week, I showed you the most shocking numbers I’ve seen in my lifetime:
Up until the day Lehman Brothers collapsed in September of last year, it took the Fed 5,012 days — 13 years and 8 months — to double the cash currency and reserves in the coffers of U.S. banks.
Read full article... Read full article...
Monday, October 26, 2009
The War Over the U.S. Dollar Versus Gold / Currencies / US Dollar
By: Clif_Droke
A fierce war of words has erupted in recent weeks between the two major camps in monetary circles. The first camp – the gold bulls/dollar bears – have been loudly voicing their twin belief that the gold price is poised to skyrocket while the dollar price is perched for a collapse. The other side – the gold bears/dollar bulls – are making the counter claim the gold price is setting up for a crash.
Monday, October 26, 2009
U.S. Dollar Alert, Revenge of the Greenback? / Currencies / US Dollar
By: Clive_Maund
The dollar is at a crossroads and there are two probable scenarios. One is a final plunge following the recent grinding decline to an intermediate low that is followed by an intermediate reversal. The other is that it suddenly breaks out upside from the severe downtrend it has been stuck in since early March and rallies strongly, strongly because it is likely to be juiced by a sudden wave of panic short-covering.
Monday, October 26, 2009
Please Mr. Geithner, Don't Pass the Buck on the U.S. Dollar / Currencies / US Dollar
By: Michael_Pento
It seems nobody in this country wants to take responsibility for the secular decline in the value of the U.S. dollar. When Fed Chairman Ben Bernanke is asked about the currency's decline, he refers the query to the Treasury Department. When the president is asked about the dollar, he often gives the tired old platitude that the U.S. has a strong dollar policy, but his vacuous words seem more like perfunctory utterances than a bona fide dollar-boosting strategy.
Sunday, October 25, 2009
U.S. Dollar Collapse Update, Obama Demanding Payment in Euros! / Currencies / US Dollar
By: Mike_Whitney
The "dollar debate" on the Internet has been ferocious and emotionally-charged, but sadly lacking in logic. To oppose the "dollar will crash" theorists is like arguing a woman's right to choose with the fist-waving throng assembled outside an abortion clinic. The results are equally disappointing. To say that "minds are already made up and the issue is settled", is an understatement. For many, the dollar's transition from the world's reserve currency to a Wiemar era Deutschemark is not a question "if" but only of "when". One reader summed up the distrust that's felt for anyone who dares to challenge the prevailing dogma like this:
Friday, October 23, 2009
King Dollar Forced to Abdicate / Currencies / US Dollar
By: Peter_Schiff
For the most part, the value of the dollar is given cursory attention by the financial media. Typically, its movements are assigned an importance on par with much less determinative metrics such as natural gas futures and construction permits. It's only when major milestones are reached that anyone really takes notice of the dollar. We are living through one of those times.
Thursday, October 22, 2009
U.S. Dollar Crash is Not Going to Happen / Currencies / US Dollar
By: Mike_Whitney
The dollar is not going to crash. In fact, many economists believe that the dollar will rally when the Fed ends its quantitative easing program (QE) sometime in early 2010. The Fed is on track to buy nearly $2 trillion dollars of mortgage-backed securities, US Treasuries and agency debt. In other words, the Fed is printing money and pumping it into the housing market to keep the market from collapsing. This keeps interest rates low, but it also weakens the dollar. When the program ends, long-term interest rates will rise and the dollar will strengthen.
Wednesday, October 21, 2009
U.S. Dollar Attacked by Central Bank Lilliputians Profting From the Carry Trade / Currencies / US Dollar
By: Jim_Willie_CB
The US Federal Reserve continues to talk about their urgent Exit Strategy. My theory is they will be doing mostly talking and almost no doing. The nations that talk the least will be hiking interest rates the most, like Australia. The United States might be dead last in hiking interest rates. The credibility of the USFed will in the process continue to be harmed much more than already, which is rock bottom. The Dollar Carry Trade and the lost Petro-Dollar advantage will work to destroy the USDollar as the global reserve currency. The USFed will have to resort to unusual means to keep the world ‘interested’ and ‘involved’ in the USDollar at all. When they lose interest and involvement, the US$ will descend into the Third World. The USDollar will then be forced to find its true value, based on its own merit.
Tuesday, October 20, 2009
The U.S. Dollar Will Not Crash / Politics / US Dollar
By: Mike_Whitney
The dollar is not going to crash. There may be grumblings in foreign capitals and "secret meetings" between finance ministers but, for now, the dollar appears to be safe.
Read full article... Read full article...
Tuesday, October 20, 2009
Russia and Iran Officially Talking about Dumping the U.S. Dollar For Crude Oil and Gas Trade / Politics / US Dollar
By: Washingtons_Blog
After the Independent reported that Middle Eastern oil producers, plus China, Japan and France have all agreed to start trading oil using a basket of currencies - instead of the dollar - starting in 9 years, spokesmen for those governments denied it.
Read full article... Read full article...
Tuesday, October 20, 2009
Zero Discount Value of Gold and Dethroning the U.S. Dollar / Currencies / US Dollar
By: Michael_S_Rozeff
A truly major change in the global monetary system is beginning to materialize. The dollar is starting to be dethroned. Foreign governments and central banks are going to do the dethroning.
I have no prediction as to how slowly or quickly this process will take. The major dethroners, the Chinese, are on record as favoring a slow process. The transition is already occurring, however. Now that attitudes have shifted among the dethroners, they are likely to keep at it.
Read full article... Read full article...
Tuesday, October 20, 2009
On the U.S. Dollar, Europe Sings a Classic Meatloaf Hit, Two Out of Three Ain't Bad / Currencies / US Dollar
By: Mike_Shedlock
Seriously, ECB president Jean-Claude Trichet cannot possibly be serious when he says Europe Takes U.S. Strong-Dollar Policy Seriously.
Monday, October 19, 2009
Saving the U.S. Dollar and Bearish Gold Volume / Currencies / US Dollar
By: Ronald_Rosen
It has been said that not even the U. S. Marine Corps can save the dollar. However, the way things appear, and according to the Delta Long Term turning points, the Marines may succeed in a delaying action for about twelve months. Desperate times require desperate means. The U. S. Dollar, starting about now, may actually rally right up to the mid term elections in November 2010. Perhaps we should include American politics as one of our market timing tools.
Monday, October 19, 2009
Orderly U.S. Dollar Depreciation Is Better Than Protectionism / Currencies / US Dollar
By: Lloyds_TSB
For all of the furore about the dollar’s slide, it is easy to lose sight of the underlying forces at play. However, we should not be complacent, as these forces can still have destructive effects on global growth prospects. Global imbalances, represented broadly in the growing US current account deficit and rising surpluses in many other parts of the world, were one of the prime - for some, the only - reasons for the global crisis that is still unwinding.
Friday, October 16, 2009
Death of the U.S. Dollar, Again? / Currencies / US Dollar
By: EWI
The following article is based on analysis from Robert Prechter’s Elliott Wave Theorist. For more insights from Robert Prechter, download the 75-page eBook Independent Investor eBook. It’s a compilation of some of the New York Times bestselling author’s writings that challenge conventional financial market assumptions. Visit Elliott Wave International to download the eBook, free.
Thursday, October 15, 2009
U.S. Dollar Real Value Crash to 18cents / Currencies / US Dollar
By: Jeff_Clark
By Jeff Clark, Senior Editor, Casey’s Gold & Resource Report -“A dollar is worth only 70¢ now,” my Dad jabbered as we worked in the backyard. “And they say it’ll only be worth 50¢ in a few years.”
Thursday, October 15, 2009
End of U.S. Dollar Global Reserve Currency / Currencies / US Dollar
By: Jim_Willie_CB
The heralded end to the Petro-Dollar defacto standard completes the loop, the vicious cycle that will work to destroy the USDollar. In a sense, the US$ had to face an end, its sunset guaranteed when Nixon defaulted on its redemption value. The United States served as custodian for the global reserve currency. Naturally, the most damage will be to the US as a consequence of its twilight, especially after the recent era of fraud & counterfeit. Few look back to that date in 1971 as prophetic for declaring the USDollar’s days as limited and finite.
Wednesday, October 14, 2009
U.S. Dollar Develepments, The Most Critical Financial Developments of Your Lifetime… / Currencies / US Dollar
By: Larry_Edelson
Make no mistake about it. The developments over the last three weeks affecting the U.S. dollar — which continues to sink in value — are the most critical financial developments of your lifetime.
The U.S. dollar has now entered the final days of its reign as the world’s reserve currency.
Read full article... Read full article...
Wednesday, October 14, 2009
U.S. Dollar Loses Reserve Status to Yen and Euro, NOT / Currencies / US Dollar
By: Mac_Slavo
The New York Post is reporting that the Dollar loses reserve status to yen & euro.
Read full article... Read full article...
Tuesday, October 13, 2009
Abandoning the USS Dollar, As Gold Shines Again / Currencies / US Dollar
By: Jennifer_Barry
Robert Fisk's article in The Independent on October 6, “The Demise of the Dollar,” has created many shock waves in the currency markets. Fisk reported that major Arab nations are secretly planning to dump the current petrodollar scheme in favor of pricing oil in a basket of currencies. Included in this basket will be the yen, yuan, euro, a new, pan-Arab currency, and gold bullion. Co-conspirators include Saudi Arabia, Russia, Brazil, China, France, and the formerly compliant Japanese. This validated my July prediction that the Persian Gulf states will eventually accept yuan in exchange for oil.
Friday, October 09, 2009
Geitner, Summers, AND Bernanke Lobbying for the U.S. Dollar / Currencies / US Dollar
By: Mike_Paulenoff
All I can say is that when you have Geitner, Summers, AND Bernanke all chiming in with comments about the need for a strong dollar, smart money listens – and dumb money had better be prepared for some wicked volatility (against their short position). In the extremely interventionist world in which we find ourselves, my sense is that you really need to reevaluate a short dollar position when the three highest US financial market officials are telling you that they don’t like your attitude.
Read full article... Read full article...
Friday, October 09, 2009
Death of the U.S. Dollar, Again: Before You Mourn, See This Chart / Currencies / US Dollar
By: EWI
The following article is based on analysis from Robert Prechter’s Elliott Wave Theorist. For more insights from Robert Prechter, download the 75-page eBook Independent Investor eBook. It’s a compilation of some of the New York Times bestselling author’s writings that challenge conventional financial market assumptions. Visit Elliott Wave International to download the eBook, free.
Thursday, October 08, 2009
Gerald Celente, U.S. Dollar’s Demise Will Be Felt Worldwide / Currencies / US Dollar
By: Submissions
If the dollar collapses, it would spell economic disaster not just for the United States, but for the world, says Gerald Celente, director of the Trade Research Institute.
“It is more than just the demise of the dollar – this is going to be felt worldwide. There’s a major financial crisis ahead. The United States, the world’s superpower, is failing on its most basic level,” Celente told RT.
Thursday, October 08, 2009
Death of Petro-Dollar, Told You So / Currencies / US Dollar
By: Jim_Willie_CB
The story hit like a thief in the night, even bearing Biblical proportions. The end of the exlusive sale of MidEast oil in USDollars, the rise of Russian and Chinese influence in the Persian Gulf, the rise in importance for the Intl Monetary Fund basket of currencies, the final clarion call for the free ride by Americans on the Dollar Credit Card, and hidden implications that the Saudis must shop for a new security lord in the region with broad military might, these are revolutionary steps with profound geopolitical implications.
Wednesday, October 07, 2009
The New Currency Cabal Targets U.S. Dollar / Currencies / US Dollar
By: John_Browne
On October 6th, The Independent newspaper of London set off shock-waves around the world with a report that secret meetings were held between the OPEC states, China, Russia, and others, in which the participants charted a course toward a new world reserve currency. Not surprisingly, the U.S. dollar nosedived on the news. The rout was only stemmed by Saudi and Chinese officials publicly denying the story.
Wednesday, October 07, 2009
Will the U.S. Dollar Be Hit By Arab Oil Shock? / Currencies / US Dollar
By: F_William_Engdahl
Arab oil producing nations and the some world’s largest oil consumers including China and Japan are reliably reported to be secretly planning a long-term exit from pricing their oil trade in dollars. If true, it would spell the death knell for the dollar as world reserve currency and for the USA as global economic power.
Tuesday, October 06, 2009
Ditching the U.S. Dollar, Video Interview With Robert Fisk / Currencies / US Dollar
By: Submissions
Gulf states have held secret talks with Russia, China, Japan and France to replace the US dollar with a basket of currencies in the trade of oil, the UK's Independent newspaper says.Read full article... Read full article...
Tuesday, October 06, 2009
U.S. Dollar Collapse Hysteria / Currencies / US Dollar
By: Mike_Whitney
Robert Fisk lit the fuse with his hyperventilating narrative which appeared in Tuesday's UK Independent titled, "The Demise of the Dollar". The article went viral overnight spreading to every musty corner of the Internet and sending gold skyrocketing to $1,026 per oz. Now every doomsday website in cyber-world has headlined Fisk's "shocker" and the blogs are clogged with the frenzied commentary of bunker-dwelling survivalists and goldbugs who're certain that the world as we know it is about to end.
Tuesday, October 06, 2009
Ridiculous Hype Over Secret Arab Crude Oil Currency Meetings / Currencies / US Dollar
By: Mike_Shedlock
Once again everyone is hyperventilating over "secret" moves to trade oil in currencies other than the US dollar. Please consider The demise of the dollar by Robert Fisk.
Monday, October 05, 2009
U.S. Dollar 50% Devaluation and IMF Part of Global Central Bank? / Currencies / US Dollar
By: Ellen_Brown
“A year ago,” said law professor Ross Buckley on Australia’s ABC News on September 22, “nobody wanted to know the International Monetary Fund. Now it’s the organiser for the international stimulus package which has been sold as a stimulus package for poor countries.”
Monday, October 05, 2009
U.S. Dollar Doom or Boom?, How to Trade the Dollar Through the Stock Market / Currencies / US Dollar
By: Oakshire_Financial
Everywhere you turn, you hear pundits screaming that the U.S. dollar is ready to collapse and will be suitable only for confetti, wallpaper, and bird cage liner before you know it.
"Buy gold now before it's too late!" is heard from every goldbug and commodity investor on the planet.
Read full article... Read full article...
Saturday, October 03, 2009
Stock Market Reversal Bodes Well for U.S. Dollar / Currencies / US Dollar
By: Bryan_Rich
The G-7 meets this weekend in Istanbul. So what’s on the minds of these leaders of the top industrialized countries of the world?
They’re all worried about currencies. Specifically, how currencies will impact their own recoveries and the recovery of the global economy.
Read full article... Read full article...
Thursday, October 01, 2009
Helping the Fed Trash the U.S. Dollar / Currencies / US Dollar
By: Bill_Bonner
Across the river is the great "City" of London...where finance is the #1 industry...
...where earnest men and women toil long hours in glass towers. What are they doing?
Read full article... Read full article...
Tuesday, September 29, 2009
U.S. Dollar the One Investment That Might Be About to Bottom / Currencies / US Dollar
By: Graham_Summers
As I’ve noted several times on these pages, the US stock market and US dollar are trading at a near perfect inverse correlation. With stocks extremely overbought and reaching a critical point of potential resistance, any bounce in the dollar could kick off a rapid collapse in the US stock markets.
Monday, September 28, 2009
Bernanke’s Grand Strategy to Let the U.S. Dollar Fall / Currencies / US Dollar
By: Larry_Edelson
By now it should be abundantly clear to you that my warnings are coming to pass. Gold is acting firm, having made a new 12-month high above $1,000 an ounce, and within a whisker of a new record high.
And while it might not fully blast off yet, in time, it will — to well over $2,000 an ounce … then even higher to $3,000 … and ultimately, probably by the middle of the next decade, even to $5,000.
Read full article... Read full article...
Monday, September 28, 2009
U.S. Dollar Crashes Against Yen! Time to Act! / Currencies / US Dollar
By: Martin_D_Weiss
Martin here with an urgent update on the dramatic events that took place late last week and what they could ultimately mean for you …
Just when the worldwide onslaught against the U.S. dollar seemed to be temporarily subsiding, a new round of attacks hit Friday — this time from Japan.
Read full article... Read full article...
Friday, September 25, 2009
U.S. Dollar Forecast, Major Low in Q4 of 2011 / Currencies / US Dollar
By: INO
The dollar will hit a major low in Q4 of 2011. Watch this short video and see how I came up with this bold forecast.
Thursday, September 24, 2009
U.S. Dollar Up While Crude Oil Slips / Currencies / US Dollar
By: Mike_Paulenoff
Ok... which is the chicken, and which is the egg? To find a starting point, let's look at the key timeframe during the major market turns that occurred duing Feb. and March 2009. Crude Oil prices hit a low (with equity prices) at $44.01, while at the same time risk averse investors finally bought enough dollars (from Dec, 2008) in their acute flight to safety. Since then, equity and oil prices have climbed sharply, while the daily Dollar index (DXY) gave up all of its panic flight to safety gains in what looks like a panic back into riskier assets-- perhaps until recently. In the case of oil and the US Oil Fund ETF (USO), prices actually peaked in June, at which time they went into a contracting coil pattern that appears to have ended yesterday with a resolution to the dowside.
Wednesday, September 23, 2009
New Deadly U.S. Dollar Carry Trade / Currencies / US Dollar
By: Jim_Willie_CB
A powerful hidden engine existed for close to 20 years called the Yen Carry Trade. The engine produced tainted trillion$ for its priviliged participants, whose access to cheap money was assured and whose control of government policy was tight. The engine served two important purposes. It kept the Japanese Yen currency exchange rate low, sufficient for maintaining the export juggernaut that sent products around global supply routes with names like Toyota, Honda, Komatsu, Mitsubishi, Nikon, Toshiba, and Fuji for a string of years. It also supplied a torrent of funds to feed both the Japanese and Western (think US, UK, Europe) financial markets its most important channel in existence.
Monday, September 21, 2009
Inflation Pressures Rising Again / Stock-Markets / US Dollar
By: Guy_Lerner
Several months ago I began to lay out an asset allocation road map. In a nutshell, the US Dollar remains the key asset to follow, and as long as the Dollar remains in a downtrend, then commodities should outperform equities with Treasuries bringing up the rear. In those articles, I never really stated why I like commodities over equities.
Read full article... Read full article...
Saturday, September 19, 2009
U.S. Dollar Imminent Upside Reversal? / Currencies / US Dollar
By: Sy_Harding
The U.S. dollar fell to a 12-month low against most major currencies on Thursday, with by far the majority of currency traders believing it will continue its freefall. And on the fundamentals, the dollar doesn’t seem to have much going for it to reverse the trend.
Friday, September 18, 2009
U.S. Dollar Index, The Trend Is Your Friend / Currencies / US Dollar
By: Guy_Lerner
In identifying the Dollar Index (symbol: $DXY) as the key asset class to watch, I relied upon two strategies for guidance to make the call on June 19, 2009 that that this was a "Very Dangerous Time For The Dollar Index". So far, things are working out as expected.
Read full article... Read full article...
Friday, September 18, 2009
Easy-Money Fed Fueling U.S. Dollar “Carry Trades” / Interest-Rates / US Dollar
By: Mike_Larson
A fascinating thing just occurred in the global interest rate market: For the first time since 1993, it became cheaper to borrow dollars than Japanese yen! The three-month dollar-based London Interbank Offered Rate, or LIBOR, slumped to 0.292 percent, compared with the yen-based LIBOR rate of 0.352 percent.
Thursday, September 17, 2009
Buy the U.S. Dollar / Currencies / US Dollar
By: Anthony_Cherniawski
Whatever happened to the Yen carry trade?
Japanese overnight interest rates are still lower that the U.S. (10 basis points versus 25 basis points). However, the three month Libor rates show that it has been cheaper to borrow dollars rather than yen. In addition, the yen has been appreciating against the dollar since 2002. So those having to buy back yen (to unwind a carry trade) have had the extra burden of currency appreciation working against them.
Read full article... Read full article...
Wednesday, September 16, 2009
US Dollar USD Index Important September Update / Currencies / US Dollar
By: INO
My wife and I just got back from cruising the Maine coastline and we were blessed with great weather and calm seas. When I got back to my summer home and had access once again to the internet, I immediately started looking through the MarketClub charts. It was then that I realized that it has been sometime since I last did a video on the Dollar Index.
Monday, September 14, 2009
U.S. Dollar Entering Free Fall Crash Territory / Currencies / US Dollar
By: Larry_Edelson
Martin’s off this week. So I’m writing you today from Asia with a passionate plea to our country — to its citizens and especially to our leaders in Washington.
We are now the laughing stock of Asia. Our dollars are no longer respected; our ambitions, no longer mimicked.
Read full article... Read full article...
Friday, September 11, 2009
U.N.’s Anti-Dollar Talk a Problem of Our Own Making / Currencies / US Dollar
By: Rep_Ed_Royce
A new report from an organization called the U.N. Conference on Trade and Development (UNCTAD) calls for the U.S. dollar to be ditched and replaced with a new global reserve currency. Why is it that the U.N. always concludes that central is better? This discussion, of course, has been prodded by our country's financial crisis and drunken sailor-like spending.
Read full article... Read full article...
Wednesday, September 09, 2009
USD Bearish Clamour, The Dollar Won't Go Quietly / Currencies / US Dollar
By: Christopher_Laird
As gold tries to break and hold $1000 it brings up the larger question of how long the USD has to last. At the very least, after the markets digest the debate over deflation which is USD bullish, the question becomes: how long can the USD hold together before it falls in value drastically.
Tuesday, September 01, 2009
U.S. Dollar on the Move / Currencies / US Dollar
By: Mike_Paulenoff
The PowerShares DB Bull US Dollar Fund ETF (NYSE: UUP) not only is oversold, but also appears to be the beneficiary of flight-to-safety money flows that is reminiscent of last year's stock market plunge. Concurrent with equity market weakness, the dollar has steadily climbed this morning, which has a familiar ring to it from last year’s stock market debacle, which attracted investors into the “safety” of the U.S. currency.
Read full article... Read full article...
Tuesday, September 01, 2009
The U.S. Dollars 2009 Slide, Banana Ben Strikes Again / Currencies / US Dollar
By: Michael_Pento
Just when you thought it was safe to hold dollars, even for just a little while, Fed Chairman Ben Bernanke once again climbed aboard his helicopter and spread some more confetti (US dollars) across the sky.
Read full article... Read full article...
Monday, August 31, 2009
September Crucial Month for U.S. Dollar, Fall or Rise? / Currencies / US Dollar
By: EliteGlobal
September 2009 is a crucial period for US dollar because technically it formed a triangular pattern and its breakout will determine the direction of US dollar movement. Most of investors and researchers predicted that the US dollar will depreciate on longer run against Euro but there is possible for either side breakout which is shown below.
Monday, August 31, 2009
U.S. Dollar Crash Count Down Madness / Currencies / US Dollar
By: Mike_Shedlock
It never ceases to amaze me what hype people will believe. The latest is a series of posts by Jim Sinclair who on August 14, started a countdown to dollar oblivion.
Saturday, August 29, 2009
The Power of the U.S. Fed, Deflation and U.S. Dollar Devaluation / Currencies / US Dollar
By: Adam_Brochert
The non-federal, private federal reserve corporation has a no-bid contract to print money out of thin air and charge U.S. citizens money (interest) for this enormous privilege. Their so-called powers are legion and they are the cause of much distortion and inequality in our economy, to be sure.Read full article... Read full article...
Saturday, August 29, 2009
Global Economic Recovery Good or Bad for the U.S. Dollar? / Currencies / US Dollar
By: Money_and_Markets
Bryan Rich writes: If you’ve followed my commentary on currencies here in Money and Markets, you are well aware of the risk dynamic that has been driving currencies and other financial markets since the middle of last year.
In this crisis environment, market participants have been keenly focused on risk. And the dollar has served as the primary safe haven vehicle for global capital.
Read full article... Read full article...
Tuesday, August 25, 2009
The U.S. Dollar is Dying / Currencies / US Dollar
By: LewRockwell
Richard Daughty writes: The Economist magazine had the Buttonwood blog titled “Law of Easy Money,” which immediately gets your hopes up that there is such a thing as “easy money,” which actually exists (just ask Connecticut’s Senator Chris Dodd!), but unfortunately not for guys like you and me who don’t have the political power and grease to extort money and skim taxpayers, which is gratuitously rude and scandalous, I agree, but which only shows the depth of my contempt for the huge, huge, cancerously huge, ridiculously and dangerously incompetent, ignorant and stupid system of governments in America, as exemplified by the despicable Congress and the even more despicable Senator Dodd.
Monday, August 24, 2009
Japanese Yen Fractal Path for the U.S. Dollar? / Currencies / US Dollar
By: Adam_Brochert
Though I keep hearing how we're different than Japan and their lost two decades of deflation (or as close to it as we seem to get in a fiat world), we are making the same foolish mistakes: protecting the financial/banking keiretsu that caused the current mess, burying the bad debt under a cloak of secrecy, and engaging in a massive quantitative easing campaign to "stimulate" the economy.
Tuesday, August 18, 2009
U.S. Dollar Key to Financial Market Trends / News_Letter / US Dollar
By: NewsLetter
The Market Oracle Newsletter August 16th, 2009 Issue #64 Vol. 3Read full article... Read full article...
Sunday, August 16, 2009
U.S. Dollar Unusual Behaviour Despite Continuing Risk Taking Environment / Currencies / US Dollar
By: Money_and_Markets
Bryan Rich writes: Last week the U.S. reported better-than-expected employment data. And the markets liked it. Stocks rallied. Yields advanced. And the dollar actually moved higher.
A move higher in the dollar on good U.S. economic data might make perfect sense in most environments. But in this crisis environment, it’s unusual …
Read full article... Read full article...
Saturday, August 15, 2009
U.S. Dollar Bull Market Update 5 / News_Letter / US Dollar
By: NewsLetter
The Market Oracle Newsletter August 14th, 2009 Issue #63 Vol. 3Read full article... Read full article...
Friday, August 14, 2009
U.S. Dollar Bull Market Trend Forecast 2009 Update / Currencies / US Dollar
By: Nadeem_Walayat
This analysis seeks to update the existing U.S. dollar analysis of January 2009 by evaluating whether or not the U.S. Dollar bull market remains intact and to project a trend for the USD into year end. The sideways trend of the USD for the past 6 months in the wake of the "Quantitative Easing" headlines that has repeatedly brought the Dollar collapse proponents back out of hibernation on each down leg has shown little deviation from the road map of 20th Jan 09 as illustrated by the below original price chart.
Thursday, August 13, 2009
U.S. Dollar Pressure (Countdown) Toward Breakdown / Currencies / US Dollar
By: Jim_Willie_CB
The Paradigm Shift continues to displace the power centers and introduce new ones. Those bright souls who ignore the shift will be well prepared for systems that soon do not stand. The Americans are the last to know, oblivious to the global shift in progress. They continue to seek a return to normalcy, when old conditions are as gone as a baby’s innocence during teen years. The crux of the matter is that the United States is no longer in control of its fate. Meetings with creditor nation leaders result in new orders given, and new policy directives enacted.
Wednesday, August 12, 2009
The U.S. Dollar Comes to the Rescue of Consumers / Currencies / US Dollar
By: Paul_J_Nolte
The almighty dollar has come to the rescue and just in the nick of time, as our hero – the consumer – was nearly out of cash and unable to spend to keep the giant economy moving. So the government waved their magic wand and poof a few billion dollars were created and tossed to those wanting to be ecology minded, who then traded in their big ugly vehicle for a nice new, more efficient one. Voila, not only do we have economic growth, but too the specter of employment to create these cars and all the other items the consumer will want now that the can spend again.
Read full article... Read full article...
Tuesday, August 11, 2009
Back to the Future for the US Dollar, Addendum- The Japanese Yen / Currencies / US Dollar
By: The_BullBear
This is an addendum to the recent BullBear Market Report:U.S. Dollar May Soon Confirm a Secular Bear Trap Trend Reversal
Yen Carry Trade
Read full article... Read full article...
Monday, August 10, 2009
U.S. Dollar Index the Key to Financial Market Dynamics / Currencies / US Dollar
By: Guy_Lerner
Over the next couple of weeks, I will attempt to put together an asset class road map that should help navigate the weeks and months ahead. In a nutshell, I would have to state that I like commodities over long term Treasury yields and equities, and the key driver will be the falling US Dollar Index.
Sunday, August 09, 2009
U.S. Dollar May Soon Confirm a Secular Bear Trap Trend Reversal / Currencies / US Dollar
By: The_BullBear
In the last BBMR we focused on the US Dollar and concluded that a major break of very long term support was imminent and that a substantial devaluation of the greenback vis-à-vis its major currency pairs and commodities was likely. It’s always healthy to revisit one’s conclusions in light of developments in the market. Recent action has caused me to reevaluate and question the bearish view on the USD and commodities as well. I think that there is a valid bullish case to be made for the Dollar as well as a bearish case for gold, silver, oil and other commodities. I will explore these views in this report.
Friday, August 07, 2009
US Dollar Index, Third and Final Bear Market Downleg? / Currencies / US Dollar
By: Seven_Days_Ahead
An earlier failed attempt to embark on a recovery phase, thwarted by a 23.6% resistance area, has seen the Dollar Index slipping lower. However, it could be that this is a final downleg…
Friday, August 07, 2009
U.S. Dollar Crash in September/ October 2009 Rumours / Currencies / US Dollar
By: Christopher_Laird
There have been disturbing stories/rumors going around that the USD is poised for a crash episode in the Fall. The stories are basically anecdotal. One suggests that US embassies have been told to gather a year’s local currency in their host country. That is one example.
Thursday, August 06, 2009
U.S. Dollar Stage #1 Breakdown, Lost Control & Economic Mythology / Currencies / US Dollar
By: Jim_Willie_CB
A great question to ask is: what was the first important chapter written in nonsensical Economic Mythology? It gave powerful intellectual protection and coverage by economists, and resulted in widespread acceptance. The answer is clearly the break in the Bretton Woods Accord, when in 1971 Nixon broke the gold standard and permitted the USDollar to float on a cloud of arrogance and on a wave of liquidity that is best described as debt mixed with counterfeit. Little known then, but better known now, is the role of the USMilitary in propping up the value and acceptance of the USDollar.
Thursday, August 06, 2009
U.S. Dollar Crash Has Started as Pressure Mounts / Currencies / US Dollar
By: Frederic_Simons
The US Dollar has shown further weakness during the last days. The support at about 78 in the US Dollar index has been breached to the downside. Technically, this means that the downside target of about 67 has been activated, and that downside momentum should be building up during the next days.
Monday, August 03, 2009
US Dollar to Remain Dominant International Reserve Currency For Many Years / Currencies / US Dollar
By: Global_Research
Prof. Rodrigue Tremblay writes: "The empire of the dollar is crashing." Hugo Chavez, Venezuelan President
"The U.S. dollar is a worthless piece of paper." Mahmoud Ahmadinejad, Iranian President
[The U.S. dollar is] "losing its status as the world currency." Xu Jian, vice director, People's Bank of China,
Friday, July 31, 2009
U.S. Dollar Collapse Starting Next Monday ? / Currencies / US Dollar
By: Frederic_Simons
The trading week finished with a further attack against the US Dollar, reversing a short-lived strenghening of the US Dollar that could be observed during the last two days.
Wednesday, July 29, 2009
U.S. Govt Yuan Bond Threat to U.S. Dollar / Interest-Rates / US Dollar
By: Jim_Willie_CB
The tables are fast turning against the deeply indebted USGovt officials. USA Inc is in deep trouble. Its productive engines in both finance and industry are either wrecked or sputtering, even as its debt burden grows exponentially. Debt default litters the landscape. Next its sovereign bonds will be have to be sold to some extent outside the US$ Sphere, which will put at great risk its stock, namely the USDollar itself. Let’s call them USGovt Dragon Bonds.
Saturday, July 25, 2009
U.S. Dollar Became the World's Reserve Currency 65 Years Ago / Currencies / US Dollar
By: Pravda
The historic conference in Bretton Woods ended on July 22, 65 years ago. The members of the conference agreed to establish a system of payment based on the US dollar and established the dollar peg with gold. The conference also resulted with the establishment of the International Monetary Fund and the World Bank.
Read full article... Read full article...
Thursday, July 23, 2009
Abandoned U.S. Dollar and Paradigm Shift / Currencies / US Dollar
By: Jim_Willie_CB
A paradigm shift is underway, unrecognized inside the US kettle. Its water level is falling and its temperature is rising, even as fewer foreign born cooks stir its contents. The US banking and political leaders errantly pursue a path toward a return to normalcy, when all pathways have been washed out by powerful storms that to do abate and will worsen. Several key developments point to a new global order taking shape, as the Chinese actively work to plant global seeds that result in the Yuan currency serving more of a role in global trade. They will eventually de-throne the USDollar from its primal perch. The USDollar will be used less in global trade. The US$-based assets are being diversified. These developments are gaining traction, power, and publicity.
Thursday, July 23, 2009
US Dollar Collapse Imminent / Currencies / US Dollar
By: Frederic_Simons
We don't like to make bold predictions. But this time, it is different (famous last words).
You might have seen that we at Crossroads FX tend to trade in a very systematic way, using signals of our proprietary trading system without asking too many questions. But you know, from time to time patterns emerge where you cannot resist.
Read full article... Read full article...
Friday, July 17, 2009
Fundamental Driver For the U.S. Dollar's Downfall? / Currencies / US Dollar
By: Guy_Lerner
David A. Rosenberg, chief economist and strategist for Gluskin Sheff and Associates, writes a very nice (and free) almost daily commentary about the markets and economy. I am sure many of you read Mr. Rosenberg, but if you don't, you can sign up here.
Thursday, July 16, 2009
Imminent Erosion of U.S. Dollar Seawall / Currencies / US Dollar
By: Jim_Willie_CB
The globe is losing patience with leadership and management of the USGovt ship at sea. They simple refuse to offer a credible solution to the primary keynote crack in the hull, falling housing prices and cratered mortgages, each of which work their destructive magic to wreck the banks. The home loan modifications are a farce, a travesty not designed to modify but rather to frame a series of loan forbearances. The motive for not fixing the mortgage mess is mysterious to the masses, but not here. Jackass claims have been consistent, that effective loan modifications would alter the underlying mortgage bonds drastically.
Wednesday, July 15, 2009
What's Going on With the US Dollar Index / Currencies / US Dollar
By: INO
While the US dollar was supposed to lose ground against its counter parties, the market has remained surprisingly stubborn and trapped in a sideways trading range.
Wednesday, July 15, 2009
U.S. Dollar at Risk of Unraveling / Currencies / US Dollar
By: Guy_Lerner
The Dollar Index (symbol: $DXY) is trading significantly lower this morning, and it is at risk of closing the week below three pivot points as seen on the weekly chart in figure 1.
Monday, July 13, 2009
The U.S. Dollar Bear Market Trend into 2012 / Currencies / US Dollar
By: Uncommon_Wisdom
Larry Edelson writes: No doubt you’ve heard about last week’s G-8 Meeting in L’Aquila, Italy. And no doubt you’re hearing a lot of sound bites from the G-8 and the media about the U.S. dollar being a very hot topic at the meeting.
To be sure, the dollar is the central topic on most leaders’ minds right now. After all …
Read full article... Read full article...
Tuesday, July 07, 2009
How Long Can the U.S. Dollar Defy the Law of Gravity? / Currencies / US Dollar
By: Gary_Dorsch
In the midst of the longest and deepest, post World-War II recession, America’s financial position with the rest of the world has deteriorated sharply. Three decades of massive trade deficits have turned the United States from the world’s top lender to the world’s largest debtor, - and dependent upon the whims of the so-called emerging nations, laden with huge foreign currency reserves, to finance the bailout of Wall Street Oligarchs, and President Barack Obama’s social programs.
Monday, July 06, 2009
U.S. Dollar Stability Choppy and Temporary / Currencies / US Dollar
By: Ashraf_Laidi
Sterling leads the list of currencies losing against the dollar and yen amid widespread expectations the Bank of England will exercise its quantitative easing expansion option by purchasing an additional 25 bln in assets without seeking govt approval. Concerted selling in emerging market bourses further elevates the risk-aversion lustre of USD and JPY.
Friday, June 26, 2009
U.S. Stocks, Dollar Decline on China Calls for World Currency / Currencies / US Dollar
By: GoldCore
The People’s Bank of China report is very significant news for the international monetary system and for the gold market. Their call for a new global reserve currency or super sovereign currency will likely lead to further pressure on the dollar. Despite gold having risen and then fallen in value today, the news is another bullish factor supporting higher gold prices in the medium term.Read full article... Read full article...
Thursday, June 25, 2009
Contraction in Economy Slowing Creates Bullishness for U.S. Dollar / Currencies / US Dollar
By: BrewerFX
The Fed ended much of the uncertainty in the Forex markets today when it announced that its key lending rate would stay between 0 - .25%, and there would be no additional expansion of its balance sheet through the purchases of government assets and mortgages.Read full article... Read full article...
Sunday, June 21, 2009
Why “BRIC” Posturing Against the U.S. Dollar Just Doesn’t Add Up / Currencies / US Dollar
By: Money_and_Markets
Bryan Rich writes: The dollar has been publicly attacked on many fronts over the past three months. And endless accusations have been made that the U.S. is purposely trying to devalue the dollar to lessen its growing debt burden.
Saturday, June 20, 2009
Very Dangerous Time For Dollar Index / Currencies / US Dollar
By: Guy_Lerner
I don't want to get into the prediction game or even be the first one to say, "I told you so", but I believe the Dollar Index (symbol: $DXY) has a very high likelihood of embarking on a major down swing in the coming weeks.
Wednesday, June 17, 2009
Politicians to the World: “Forget All Those Trillions, the Dollar’s Doing GREAT!” / Politics / US Dollar
By: Graham_Summers
As a general rule of thumb, anytime a politician (especially a finance minister or central banker) comes forward to assure investors that his country’s currency is sound, you better believe the currency is in BIG trouble.
Tuesday, June 16, 2009
U.S. Dollar: the Good, the Bad and the Ugly / Currencies / US Dollar
By: Axel_Merk
Russian President Medvedev suggests the dollar is on its way out; Russian Finance minister Kudrin says there is no substitute for the dollar. The Chinese see a need to diversify out of the dollar; the Japanese say their trust in the dollar is unshakable. Let’s look at this puzzle and make some sense of it.
Sunday, June 14, 2009
How long Can the U.S. Dollar Last as the World’s Reserve Currency? / Currencies / US Dollar
By: Global_Research
Bob Chapman writes: The big question is how long can the dollar last as the world’s reserve currency? Needless to say, that is not an easy question to answer. We recently called the top on the dollar at 89.50 on the USDX. The USDX is six currencies versus the dollar on a weighted basis. More than a year ago the dollar hit a low on the USDX at 71.18. A phenomenal rally ensued from that level expedited by de-leveraging and the closing out positions within the carry trade. A good example of the carry trade was when a bank in NYC borrowed yen. At ½% interest, sold the yen for dollars and bought dollar denominated securities.
Sunday, June 14, 2009
What's the Relationship Between the U.S. Dollar and Commodities? / Commodities / US Dollar
By: Money_and_Markets
Bryan Rich writes: The dollar can’t manage to find its way out of the limelight these days. There’s speculation about its demise and the loss of its world reserve currency status. It’s even blamed for higher gas prices.
Thursday, June 11, 2009
US Dollar Index Embarking on Voyage of Recovery… / Currencies / US Dollar
By: Seven_Days_Ahead
…at the least over the shorter term. Last week the US Dollar Index started to rebound from technical support, aided by an interesting ‘Fibonacci’ projection which we detail below. Our bullish view here underpins our thinking across a range of markets that we cover in the FX Trading Guide, where we have adopted some early, somewhat aggressive reverse stances.
Wednesday, June 10, 2009
Falling Stock Markets Still Key for the U.S. Dollar / Currencies / US Dollar
By: Ashraf_Laidi
The intermarket relationship underpinning the US currency and global equities remains largely unhinged, with falling equities persisting as the longe saviour for the corroding US dollar. And so once again the falling US dollar got a fresh respite from a falling stock market. Earlier in the day, the dollar seemed to succumb to one of those typical selling waves after better than expected UK housing numbers, improving confidence figures in Australia and higher than expected Norwegian inflation -- all of which bolstered the rally of these currencies against the greenback. Such figures reduce the need for quantitative easing in these economies, which only add to a widening in their yield differential ahead of the US currency.
Thursday, June 04, 2009
The Plummeting U.S. Dollar Economic Prosperity Plan / Currencies / US Dollar
By: Michael_Pento
It is becoming painfully obvious that the Fed, Treasury, and Administration's disastrous recovery plan hinges on the devaluation of the U.S. dollar. Their specious strategy stems from the belief that a falling currency can re-ignite exports and spark a recovery in manufacturing while putting a floor in U.S. asset prices. But just as the President's initials indicate, the plan stinks of B.O.
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Thursday, June 04, 2009
Bernanke's Math - Does It Add Up? / Currencies / US Dollar
By: Axel_Merk
The current account deficit is down as we are less reliant on foreigners to finance our deficits; the government's deficit is increasingly covered by the domestic private sector as private sector borrowing is down. -- These were the approximate words of Fed Chairman Bernanke in testimony to the House Budget Committe. This statement is so troublesome, let's examine it a step at the time.Read full article... Read full article...
Tuesday, June 02, 2009
Speculative Bets Against the U.S. Dollar Highest Since July 15 2008 / Currencies / US Dollar
By: Mike_Shedlock
Anti-dollar sentiment is again running rampant. Please consider Bets against dollar highest since start of economic crisis.
Read full article... Read full article...Speculative bets against the dollar have risen to their highest level since the onset of the financial crisis.
Tuesday, June 02, 2009
How Far Can the U.S. Dollar Fall? / Commodities / US Dollar
By: INO
I was quite amazed when I looked back to see how long it’s been since I’ve put together a Dollar Index (NYBOT_DX) video. I had to look back to September of 2008 to find the last series of videos I had done specifically for the Dollar Index, and it proved to be successful.
Monday, June 01, 2009
China Forced to Support U.S. Dollar to Defend $2 trillion Currency Reserves / Currencies / US Dollar
By: Pravda
China is uncomfortable about being the principal creditor of the United States. Asia’s largest nation became the hostage of the US economy in the 21st century. The reserves of the People’s Republic of China are based on dollar assets - $2 trillion. US Treasury Bonds make $700 billion of the amount. China is forced to continue crediting the budget deficit of the United States not to let these reserves go down in value.
Read full article... Read full article...
Saturday, May 30, 2009
US Dollar Hegemony Over China and Russia / Currencies / US Dollar
By: Global_Research
Bob Chapman writes:
The Chinese and Russians are the laughing stock of the US and European Illuminists at the G-20 meetings concerning talk about a new world reserve currency to supplant the dollar. With China's gold reserves of about a thousand tons and Russia's five hundred tons, they are like penny ante poker players trying to get in on a thousand dollar ante game. They need five to ten thousand tons of gold reserves just to be an average player in "The Big Game," much less a leading and influential player. The rest of their foreign exchange reserves are denominated in fiat currencies, which are all practically worthless except for the euro and Swiss franc.
Thursday, May 28, 2009
U.S. Treasury Bond Market Drags Dollar Lower Under Weight of Bond Issuance / Currencies / US Dollar
By: Ashraf_Laidi
Talk of Fed Exit Strategy is Premature. Yesterdays 23-basis point jump in 10-year yields to 3.74% may have been helped by mortgage backed securities traders hedging, but the upward trend remains clearly intact. With Fed increasingly behind the curve in catching up with US Treasurys relentless bond issues, 10 year yields have now retraced over 50% of their decline from their 5.32% high of June 2007 to their record low of 2.03% in December.
Thursday, May 28, 2009
U.S. Dollar, the Worst Investment of All Time? / Currencies / US Dollar
By: Graham_Summers
One investment, more than any other, has proven to be a terrible storehouse of value for well over 80 years.
While some disasters unfold rapidly (Enron, subprime mortgages, etc.), this investment’s decline has occurred in slow motion, losing an average of 3.6% a year. Indeed, you can hardly find a period in the last 89 years in which this investment actually MADE money.
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Thursday, May 28, 2009
Treasury Bond Market Crash Threatens U.S. Dollar Collapse / Currencies / US Dollar
By: Adrian_Ash
THE PRICE OF GOLD rose $6 early Thursday to record the best AM Gold Fix in London so far this week, hitting $949.75 an ounce as world stock markets fell and US government bonds bounced from their worst sell-off since January.
Thursday, May 28, 2009
U.S. Dollar Roll Over Accelerates into Mid 2009 / Currencies / US Dollar
By: Donald_W_Dony
In 2008, as the global bear market gather momentum, investors were drawn to the fundamentally weak U.S. dollar as a 'safe haven'. However, as volatility slowly erodes from the equity markets in 2009 and the appetite for risk in commodities and stocks gradually returns, the flight-to-safety mentality for the $USD is also evaporating. In its place is a return to a more rational fundamental review of the American currency.
Saturday, May 23, 2009
U.S. Dollar’s Demise Greatly Exaggerated, Still the Worlds Reserve Currency / Currencies / US Dollar
By: Money_and_Markets
Bryan Rich writes: Many investors are concerned about the future path of the dollar … and with good reason.
The Treasury is increasing the money supply in amounts never seen before or even imagined … all in an effort to avert a meltdown and stimulate a path to recovery. And as expected, there are no shortages of opinions about the trillions of dollars being created out of thin air …
Read full article... Read full article...
Friday, May 22, 2009
U.S. Dollar’s Impact on Commodity Price Trends / Commodities / US Dollar
By: Zeal_LLC
On any day that commodities prices move materially, the financial media is quick to ascribe their action to the US dollar. And this oft-discussed causal relationship is certainly logical. With commodities priced in dollars, a stronger dollar will buy more units of any given commodity while a weaker dollar buys less.
Thursday, May 21, 2009
U.S. Dollar Slashed Due to Fed Quantitative Easing / Currencies / US Dollar
By: Ashraf_Laidi
Today's serious case of dollar-damage was once again made courtesy of the nations central bank. The Feds purchase of $7.7 bln in 7 and 10-year treasuries in the morning, followed by purchases of $3.08 bln in Agency securities in the afternoon accelerated the dollar decline and the resulting rally in commodities --as was the case on March 18 when the Fed first announced purchases of long term treasuries. Today's dollar sell-off stood out from previous declines by the fact that EURUSD knifed through the key resistance of $1.3740 (failed 4 times this year) to $1.3830, and even sterling finally managed to break above its 200-day moving average vs USD--something that all majors currencies had achieved in previous weeks surging to a 7-month high of $1.5794.
Thursday, May 21, 2009
Is the U.S. Dollar Heading For a Mighty Crash? / Currencies / US Dollar
By: Gary_Dorsch
Each month, the US Treasury publishes its International Capital account, (TIC) which foreign currency traders and bond dealers use to gauge the flows of money from around the world, into and out-of the US-capital markets. The demand for a nation’s bonds and stocks, combined with international trade flows for goods and services, plus behind the scenes intervention by central banks, all act in concert to influence the foreign exchange market which handles $4-trillion per day.
Wednesday, May 20, 2009
Is the U.S. Dollar in Trouble? / Currencies / US Dollar
By: INO
How we analyze the Dollar Index - According to the dollar index (DX), which is a basket of currencies that track the dollar, it would appear as though the dollar is indeed going to be coming under more pressure. The dollar index is much like an index for stocks except in this case it is for currencies.
Wednesday, May 20, 2009
China and Brazil Try to Flee From the US Dollar / Currencies / US Dollar
By: Pravda
Brazil's state visit to China has set the chins wagging. Will an agreement be struck to invoice their bilateral trade in their own currencies rather than the dollar? Brazilian President Lula had made some allusions to this last month around the G20 meeting.
Read full article... Read full article...
Sunday, May 17, 2009
The Incredible Shrinking Global Economies Bullish for the U.S. Dollar / Currencies / US Dollar
By: Money_and_Markets
Bryan Rich writes: Germany is the world’s largest exporter. And in the broadest global recession on record, demand for its exports has come to a virtual standstill.
As a result, Germany, the core of the Eurozone, is shrinking at a record pace. And Germany isn’t alone. Many of the world’s largest economies have rested on the export model.
Read full article... Read full article...
Wednesday, May 13, 2009
Fed Seeks U.S. Dollar Devaluation to Reflate the Economy / Currencies / US Dollar
By: Michael_Pento
Commodities are rising, the dollar is falling and the trade deficit is growing. Everything bad is good again, thanks to the Feds.
All of the pernicious factors that brought us to the brink of financial Armageddon are now once again returning and are still—amazingly enough--being embraced as both normal and healthy for the long term viability of the U.S. economy. Factors such as a strengthening U.S. dollar, shrinking trade deficit, a surging savings rate and falling commodity prices were all being viewed as the bane of the U.S. economy. And now, unfortunately, what had been the budding re-emergence of economic sanity is being obliterated by a killing frost thanks to the Fed and the Administration.
Tuesday, May 12, 2009
Follow the Money… Out of the U.S. Dollar? / Currencies / US Dollar
By: Axel_Merk
Kieran Osborne writes: Recently, stock markets appear to have experienced an almost euphoric phase, seemingly shrugging off most negative news flow day after day. Whether or not you believe in the so-called “green shoots” of economic recovery, a significant economic rebound, or a continued decline in economic activity, one thing seems abundantly clear: investors have been becoming less risk averse. The most commonly followed “fear indicator”, the VIX index, has retracted (likewise, other commonly followed indicators such as the TED spread has tightened and OIS spreads have reverted to levels not seen since the Lehman Brothers collapse), three month T-bill yields have recently risen and equity markets around the world have rebounded from March lows.
Sunday, May 03, 2009
U.S. Dollar Index Analysis and Forecast / Currencies / US Dollar
By: David_Petch
The US Dollar Index has been experiencing weakness over the course of the past few days and is challenging present support levels, which if broken, could see a dip to 82-83. Analysis today will illustrate various trends in the USD and what to expect over the course of the next few weeks.
Wednesday, April 29, 2009
U.S. Dollar Turned Back at Yen 100 / Currencies / US Dollar
By: LiveCharts
The dollar seemed on the fast track to cruise past 100 yen and beyond recently. During the six week long stock market rally, the dollar surge to a high point of 101 yen on April 6th. However, as the Dow has flattened and held above 8,000 the last couple weeks, the dollar’s momentum against its Japanese counterpart has waned.
Read full article... Read full article...
Thursday, April 23, 2009
U.S. Dollar Setting up for a Decline Into End of Month / Currencies / US Dollar
By: ForexPros
The USD suffered a violent whipsaw today first rising to highs during early New York trade before reversing to make lows against some pairs and end mixed. Rising to highs against the GBP, low prints were hit early as stops and aggressive selling dropped the rate to a low print 0f 1.4395 before short-covering and aggressive buying lifted the pair back to the 1.4500 handle to hold around 1.4510/20 area most of the day.
Sunday, April 19, 2009
Global Deflation and Currency Manipulation Boosts the U.S. Dollar / Currencies / US Dollar
By: Money_and_Markets
Bryan Rich writes: This week there was plenty of data to digest from the financial markets and the overwhelming theme was — more of the same.
If you missed it, here’s a run-down …
Read full article... Read full article...
Friday, April 17, 2009
Fed Using Currency Swaps to Boost the U.S. Dollar / Currencies / US Dollar
By: Eric_deCarbonnel
Currency swaps are of reciprocal currency agreements (swap facilities) between central banks. The officially purpose of such agreements are explicitly of short term and are intended to finance short-term capital flows believed to be seasonal or temporary in nature. Swap agreements are also misused to facilitate large interventions in foreign exchange markets, which is what is occurring with the dollar today.
Wednesday, April 15, 2009
U.S. Dollar Doomed as Global Demand for Dollars Slows / Currencies / US Dollar
By: Money_and_Markets
Happy Tax Day! As you fork over money to the IRS, you might want to take a closer look at the U.S. dollar. It could very well be turning into a ticking time bomb inside your wallet.
Sunday, April 12, 2009
Are the U.S. Dollar's Safehaven Days Numbered / Currencies / US Dollar
By: Money_and_Markets
Bryan Rich writes: It’s not hard to understand the relationship of the dollar with human emotions like greed and fear. And that relationship is rarely more visible than it is today …
When investors are willing to take on more risk, stocks, emerging market currencies and commodities all bounce. On the other hand, when fear is prevalent, the dollar soars, Treasuries take off, and gold starts sniffing towards $1,000 an ounce.
Wednesday, April 08, 2009
U.S. Dollar Rally Lacks Conviction / Currencies / US Dollar
By: ForexPros
The USD held gains today as risk-aversion in equities prompted dollar-buying pushing the majors into key S/R at the start of the day. Although the Greenback is higher across the board today volumes were lighter and traders noted quality buying of the majors into the lows. Confirmed sovereign and semi-official names were seen buying EURO and GBP on the dips holding those pairs off their early New York lows. Read full article... Read full article...
Friday, April 03, 2009
U.S. Dollar Devaluation is Inevitable, Just Like 1934 / Currencies / US Dollar
By: Submissions
Vronsky writes: It is evident to all the US economic environment is an unmitigated disaster. In fact we seem to be hell bent for leather falling into another Great Depression (the recent Bear Market Rally in Wall Street notwithstanding). This begs the question: What can President Obama do to avert the excruciatingly sad events of the 1930s?
Here are the economic problems causing havoc today in the USA:
Read full article... Read full article...
Thursday, April 02, 2009
The G20's Hidden Agenda of Devaluing the U.S. Dollar to Inflate Asset Values / Currencies / US Dollar
By: Money_and_Markets
Larry Edelson writes: I'm buried monitoring the markets … scrutinizing them virtually 24/7 … checking every piece of news I can get my hands on.
I also have three Dollar Index charts on my trading screen: A monthly chart, a daily chart, and a 60-minute chart to check the short-term moves.
Read full article... Read full article...
Tuesday, March 31, 2009
U.S. Dollar Supported by Risk Averse Global Capital Flows / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: Last week's big news: The Federal Reserve announced they'd “officially” take up quantitative easing to finance the massive stimulus spending.
The Fed's decision to buy long-term Treasuries, soak-up more mortgage debt and open up the Term Asset-Backed Securities Loan Facility (TALF) for the sake of consumers and small business inspired optimism …
Read full article... Read full article...
Monday, March 30, 2009
U.S. Dollar Index Stabilizes in April and Sell off in May / Currencies / US Dollar
By: Donald_W_Dony
Though the longer-term picture for the U.S. Dollar Index appears bleak, with a downside target of $0.80 to $0.81 by June, models suggest the short-term outlook indicates some upward pressure building in April. Resistance is set at $0.8670 during this expected advance. Monty Carlo simulation supports the models outlook with a 95% probability that the currency will trade outside of the $0.70 to $0.83 band over the next 100 days. Read full article... Read full article...
Tuesday, March 24, 2009
U.S. Dollar Imminent Collapse.. Again? - Update 5 / Currencies / US Dollar
By: Nadeem_Walayat
The fall in the U.S. Dollar in the wake of the "Quantitative Easing" headlines has brought the Dollar collapse proponents back out of hibernation. However the actual dollar trend has shown little if any deviation from the road map of 20th Jan 09 as illustrated by the below original price chart which therefore at this point in time does not warrant an indepth update.Read full article... Read full article...
Monday, March 23, 2009
Currency Market Mayhem Amdist Stocks Bear Market Short Squeeze Rally / Currencies / US Dollar
By: David_Petch
Currency mayhem this week caused a rally in most commodities as the US dollar broke trend line support and headed lower in a sharp decline. Analysis today will clue into the expected trend of the US dollar over the coming weeks ahead. Read full article... Read full article...
Sunday, March 22, 2009
U.S. Dollar as the World’s Only Reserve Currency is illegal / Politics / US Dollar
By: Pravda
A new world currency must be created under the aegis of the United Nations Organization, Kazakhstan's President Nursultan Nazarbayev stated during his speech at the 21 st Congress of the Eurasian Association of Universities in Astana.Read full article... Read full article...
Thursday, March 19, 2009
U.S. Fed Buying Treasuries Triggering Massive Exodus Out of U.S. Dollar / Currencies / US Dollar
By: ForexPros
Is everybody happy? The US Fed today announced that they will be buying US Debt in huge amounts starting today and the result was a massive exodus out of the USD. Equities responded positively although more will need to be seen if investors view the progress as net-positive for equities near-term. Read full article... Read full article...
Wednesday, March 18, 2009
Economic Reflation Investing – Which Currencies Benefit? / Currencies / US Dollar
By: Axel_Merk
Reflation refers to policy makers' attempts to “reflate” the economy, to prop up what many would consider a broken system. Federal Reserve (Fed) Chairman Ben Bernanke made it very clear in his March 15 interview on 60 Minutes that he will attempt to stem the tide of market forces: Read full article... Read full article...
Monday, March 09, 2009
British Pound Plunged Through Support Levels Towards Fresh Dollar Lows / Currencies / US Dollar
By: ForexPros
The USD is higher this morning after a slow start on the defense in Asia, the majors making the best levels of the day ahead of European trade. The Greenback is making fresh highs against the majors in early New York as technical trade and cross spreaders pressure to the upside. Overnight equities markets were lower adding to the upside as well. Read full article... Read full article...
Thursday, March 05, 2009
US Dollar Shines in a Depression as China buys Metals / Currencies / US Dollar
By: Gary_Dorsch
“De-leveraging” and “Risk Aversion” are the buzzwords cited by many currency analysts, to explain the puzzling strength of the US-dollar, which has climbed by more than 20% since last July, despite the widely held view, that top Wall Street banks are insolvent and only surviving on artificial life support, and with the flow of credit badly constrained, the US economy is spiraling towards a “Great Depression.” Read full article... Read full article...
Wednesday, March 04, 2009
U.S Dollar Short-term Strength, Long-term Collapse / Currencies / US Dollar
By: John_Browne
When President Obama took over the reins of government just six weeks ago, he stood at a historic crossroads. His decision on which route to take will make a profound impact on the future of the American economy and its currency. He could have persuaded a frightened Congress to initiate a structural change that would transform the U.S. economy from its dependence on debt-fueled personal consumption back to a path of productive growth. Instead, he took the easy route: attempting to delay the pain with stimulus and inflation, rewarding his benefactors without truly addressing our structural deficits. Disappointing for a man who campaigned on ‘hope' and ‘change.'Read full article... Read full article...
Saturday, February 28, 2009
U.S. Dollar Bears: Be Very Careful / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: The rest of the world cannot yet decouple from the United States' economy.
Excessive deleveraging of U.S. dollar-based credit is the sure sign that investors have come to understand this fact. They've pulled in extreme amounts of capital in search of a safe place to stash their cash. Read full article... Read full article...
Monday, February 23, 2009
U.S. Dollar Bullish Outlook Throughout 2009 / Currencies / US Dollar
By: David_Petch
US Dollar Index - The daily chart of the US Dollar Index is shown below, with the upper 21 and 34 MA Bollinger bands riding the index, suggestive that further upside should be expected. Full stochastics 1, 2 and 3 are shown below in order of descent, with the %K above the %D in all three instances. Based upon the %K curling back above the %D in #1, expect upside strength to continue into the foreseeable future. Read full article... Read full article...
Tuesday, February 17, 2009
U.S. Dollar Index Still Bullish / Currencies / US Dollar
By: Guy_Lerner
My reluctance to embrace the rally in gold has been well documented . One of the reasons, I did not jump on the gold band wagon was the strength in the US Dollar Index. Since August, 2008, it has been my belief that the US Dollar was poised for a secular change in trend and that gold has only been in a range. Based upon this, it remains my belief that the US Dollar is a better place to invest. Read full article... Read full article...
Friday, February 13, 2009
The U.S. Dollar and Monetary Policy / Currencies / US Dollar
By: Mike_Hewitt
One of the chief mandates of the U.S. Federal Reserve is to manage the nation's monetary stock. This essay analyzes the historic growth of the American monetary stock (or aggregates) since 1960 and looks at some recent developments revealing a marked adjustment in policy. These changes are a direct response to the on-going worldwide financial crisis that escalated in September 2008 following the collapse of Lehman Brothers. Read full article... Read full article...
Tuesday, January 27, 2009
How Gold Links U.S. Treasuries and the Dollar / Currencies / US Dollar
By: Ashraf_Laidi
US Dollar & Treasuries. The emergence of last week's unsual direct relation between the dollar and gold provided a valuable signal to the validity of the rally in the precious metal. It could also be explained by the rise in bond yields (fall in prices). Last week witnessed a rise in bond yields that was accompanied by a not-so smooth strengthening in the value of the dollar. Despite the dollar's leap to 23-year highs vs GBP, the currency made more modest gains vs the euro while nearing 14-year lows against the yen. Read full article... Read full article...
Monday, January 26, 2009
U.S. Dollar Stalling as Commodities Bull Market Returns / Currencies / US Dollar
By: Donald_W_Dony
Many investors that I have spoken to have moved away from the powerful but volatile commodities market after the cliff-dive drop that occurred in the second half of 2008. Other investors are waiting on the sidelines for the global economic expansion to develop which will bring inventory levels down and prices up. Yet, the underpinnings for the next upward leg of natural resource prices is already in play and leading indicators are starting to break to the upside.Read full article... Read full article...
Monday, January 26, 2009
U.S. Dollar Bull Market Not Over Despite Lousy Fundementals / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: Prices of assets and securities lie very much on expectations for the future. Indeed, when optimism is present, it's only natural to expect:
- Confidence in the market place …
- Long-lasting spending sprees …
- And rising prices for durable goods and services.
Read full article... Read full article...
Friday, January 23, 2009
US Dollar Bull Market 2009 Update - 4 / News_Letter / US Dollar
By: NewsLetter
January 21st , 2009 Issue #3 Vol. 3Prevailing bearishness continues against the U.S. Dollar amidst a near infinite reasons of why the Dollar is doomed. But as an active experienced trader, one thing you soon painfully learn is that the fundamentals don't count when it comes trend reversals, as by the time the reasons have become apparent the market has already moved by as much as 50% and even then there exists the continuing dilemma of the trend versus the fundamental views based on hard data. However as I have discussed several times with would be traders in that your trading the price not the indicator or data. The bottom line is that what the price says is that which only 'should' count.
Read full article... Read full article...
Wednesday, January 21, 2009
US Dollar Bull Market 2009 Update 4 / Currencies / US Dollar
By: Nadeem_Walayat
Prevailing bearishness continues against the U.S. Dollar amidst a near infinite reasons of why the Dollar is doomed. But as an active experienced trader, one thing you soon painfully learn is that the fundamentals don't count when it comes trend reversals, as by the time the reasons have become apparent the market has already moved by as much as 50% and even then there exists the continuing dilemma of the trend versus the fundamental views based on hard data. However as I have discussed several times with would be traders in that your trading the price not the indicator or data. The bottom line is that what the price says is that which only 'should' count.Read full article... Read full article...
Sunday, January 18, 2009
U.S. Dollar Bullish Despite Global Recession / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: The U.S. has become the most significant consumer in the world when it comes to demanding finished goods and discretionary items. Now, however, U.S. consumers are holding on to their wallets a whole lot tighter. You can see that clearly in this week's announcement of December retail sales … Read full article... Read full article...
Thursday, January 15, 2009
Radioactive U.S. Dollar UDN ETF Protection / Currencies / US Dollar
By: Oxbury_Research
There is a rather interesting scientific experiment going on right now in the United States. The experiment involves the effect that intensive radiation has on the brains of rats. Who is conducting this experiment? Why Wall Street, of course!
With all of the highly leveraged, stupid bets blowing up in Wall Street's face, it has been the equivalent of a nuclear bomb going off right in the middle of Wall Street. Most people would use common sense and get as far away as possible from the nuclear blast.
Read full article... Read full article...
Wednesday, January 14, 2009
U.S. Unemployment Boosts the Dollar / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: Friday was a big day for the market. The mother of all economic data reports created its usual commotion. That is, U.S. Non-Farm Payrolls were released … and the numbers gave analysts plenty to talk about.
The U.S. lost 524,000 jobs in December. And as bad as that looks, earlier rumors had the markets preparing for much larger losses. The unemployment rate, on the other hand, jumped more than had been expected — up to 7.2%.
Read full article... Read full article...
Friday, January 09, 2009
U.S. Dollars Inevitable Demise, Doom and Gloom, Get it Straight! / Currencies / US Dollar
By: Oxbury_Research
"There will, before long (my best guess is between two and five years from now) be a global dumping of US dollar assets, including US government assets. Old habits die hard. The US dollar and US Treasury bills and bonds are still viewed as a safe haven by many. But learning takes place." -Telegraph 1/6/09 Read full article... Read full article...
Wednesday, January 07, 2009
U.S. Government Panic Could Herald Dollar Crash / Currencies / US Dollar
By: John_Browne
One of the few things more troubling for an economy than government intervention is government intervention driven by panic. Time and again, history has shown that when governments rush to engineer solutions to pressing problems, unintended difficulties arise. Read full article... Read full article...
Monday, January 05, 2009
U.S. Dollar Strong Start to 2009 / Currencies / US Dollar
By: ForexPros
The USD is on the offense this morning for the most part as the first full day of post-holiday trading gets underway in New York. Overnight was a mixed bag for the Greenback as early weakness in index futures put a bit of downward pressure on the USD/JPY and mixed pressure on EURO and Cable; thin conditions were reported in Asia as a half-day holiday was seen in Japan. Read full article... Read full article...
Friday, January 02, 2009
Ten Major Threats Facing the U.S. Dollar in 2009 / Currencies / US Dollar
By: Eric_deCarbonnel
1) Foreign central banks selling US assets Most of the nations which have been financing the US's massive current account deficits in recent years have either begun to sell their dollar reserves last year or are planning on selling them this year in order to support their currencies. These nations generally fall into three categories:
Read full article... Read full article...
Saturday, December 27, 2008
The Deflation Driven U.S. Dollar Bull Market of 2009 / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: I'm often hearing how much everyone seems to be anxious to put a lid on 2008 and get started over — refreshed. I can understand that. This has been a very challenging year for many investors.
But, some hidden treasures have also appeared in the markets amongst the mess we've become accustomed to …
Read full article... Read full article...
Monday, December 22, 2008
Why the U.S. Trade Deficit is Worsening and Dollar Implications / Currencies / US Dollar
By: Eric_deCarbonnel
Right up until the commodity bubble burst this summer, there was the ridiculous theory going around that the world was now "decoupled" and that European and emerging markets would somehow avoid being affected by the US slowdown. These decoupling theories disappeared as oil dropped like a rock, only to be replaced by an equally ridiculous idea: that the world's economic pain would be spread evenly. This is wrong. Although the entire world is going into a recession as a result of the credit crisis, some economies are better prepared than others to weather the storm. Read full article... Read full article...
Saturday, December 20, 2008
U.S. Dollar Buying Opportunity? / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: Traders have slashed the price of the U.S. dollar. And that's terrific news! Now you can get your hands on greenbacks far cheaper than you could only two weeks ago. If you are a regular reader of my Money and Markets columns , you know that my long-term theme is that the dollar will climb sharply through most, if not all, of 2009. And now's certainly not the time to deviate from those expectations. Read full article... Read full article...
Friday, December 19, 2008
U.S. Dollar Plunges as Devaluation Policy Seeks to Export Deflation / Currencies / US Dollar
By: Prieur_du_Plessis
Bernanke & Co. on Tuesday signaled to the financial markets that they were hell-bent on pursuing an “inflate or die” approach to rescuing the ailing US economy and fending off the forces of deflation. The Fed is now inflating at a level possibly not seen before by a developed nation since Weimar Germany. Read full article... Read full article...
Wednesday, December 17, 2008
Fed Policy to Drive U.S. Dollar Lower to Prevent Deflation / Interest-Rates / US Dollar
By: Axel_Merk
Faced with the threat of deflation, the Federal Reserve (Fed) may be trying to drive the dollar lower to spur inflation. As policy makers don't want home prices to deteriorate further, an alternative is to inflate the prices of all other goods and services: as a result, the relative prices of homes would be less expensive. Weakening the dollar is an effective policy tool to drive up inflation as the cost of import goes up. Just be careful: the Fed may be getting more than it is bargaining for. Read full article... Read full article...
Wednesday, December 17, 2008
Crude Oil and U.S. Dollar Inverse Relationship? / Currencies / US Dollar
By: Richard_Shaw
Are oil and the US Dollar inverse to each other? No. At least not always.
There are numerous articles out about “Dollar Up & Oil Down”, or “Dollar Down & Oil Up”.
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Tuesday, December 16, 2008
U.S. Dollar Crashes Through Support Treasury Bonds to Follow / Currencies / US Dollar
By: Clive_Maund
Over the past several days the dollar has gone into a severe decline, and this drop does not look like a reaction within an ongoing uptrend, as was the case in September, for as we can see on the 6-month chart it follows the development of a Head-and-Shoulders top area, a distribution pattern that took nearly 2 months to form. It looks like the dollar has broken down from an important reversal pattern. We had correctly identified the Head-and-Shoulders top back when the dollar index was high in the Right Shoulder of the pattern, when a Dollar Special update was posted on the site on 5th December, warning of a probable imminent dollar breakdown. Read full article... Read full article...
Tuesday, December 16, 2008
Zero Interest Rate Bound Fed Breaks U.S. Dollar / Currencies / US Dollar
By: Ashraf_Laidi
The Fed's shift towards a range of 0-0.25% in its fed funds target zero intensifies the yield assault to the dollar, leaving little chance for traders but to extend speculative and directional offers in the currency. The decision prompts the biggest 2-day rallly in EURUSD (4.8%) following last week's 5.1% jump. The dollar is unlikely to immediately descend into an uncontrollable decline as the easing campaigns of overseas central bankers and secular market volatility has yet to recapture its peak. But the longer term prospects ahead appear particularly ominous for the world's reserve currency once global economic stability starts to buildup and the demand/supply schedule of commodities further moves towards the price. Read full article... Read full article...
Friday, December 12, 2008
U.S. Dollar Set to Decline on Back of Bailouts Frenzy / Currencies / US Dollar
By: Money_Morning
Martin Hutchinson writes: The plethora of bank and corporate bailouts, stimulus plans and interest-rate cuts that the U.S. government has produced over the last three months can only lead to one outcome: The U.S. dollar has to decline.
During the crisis so far, the dollar in general, and U.S. Treasury bonds in particular, have been regarded as a “safe haven,” making the dollar strong and pushing long-term U.S. Treasury rates downward. In the New Year, however, this is likely to change – the weight of the added supply of dollars in circulation will be too great for the greenback to shrug off.
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Thursday, December 11, 2008
U.S. Dollar in Retreat as Corporate Failure Risks Soar on U.S. Auto's Bailout / Currencies / US Dollar
By: Ashraf_Laidi
It may be premature to call the recent currency developments a paradigm shift, but it is worth shedding light on these changes as the news from Capitol Hill overlap with thin trading volumes. The current weakness of the US dollar is not only taking part against higher yielding counterparts such as the commodity currencies (which was usually assign of improved risk appetite), but also against the Japanese yen. Since the intensification of the market and economic weakness, the greenback would gain versus most major currencies with the exception of the yen during curtailed appetite, while losing ground versus its higher yielding counterparts and weighing on the yen at times of improved risk appetite. Read full article... Read full article...
Saturday, December 06, 2008
U.S. Dollar Bull Market Thriving on Bearish Skeptics / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: I was doing some research earlier in the week, and I came across a blog I'd never heard of written by a guy I'd never heard of on a topic that we've all most certainly heard of … the U.S. dollar.
It was the same old story that's been beaten into the ground:
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Wednesday, November 26, 2008
Deleveraging Pushes Up the U.S. Dollar / Currencies / US Dollar
By: John_Browne
In view of the economic crisis facing the American and global markets, the recent strength of the U.S. dollar has confounded analysts. After all, the global economic problems essentially emanate from the United States and one would assume that the collapse of our economy would drag our currency down. That has not, as yet, transpired. The explanation can be found in a financial concept known as deleveraging.Read full article... Read full article...
Friday, November 21, 2008
U.S. Dollar Technical Analysis and Forecast / Currencies / US Dollar
By: Joseph_Russo
Casting aside fundamental arguments relative to the long-term viability of un-backed fiat currency, we turn our focus to a purely technical assessment of the past 8-years of price data for the US dollar index.
Technical Tools used in our assessment are the following:
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Monday, November 17, 2008
U.S. Dollar Bullish Worlds Reserve Currency Dynamics / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: It's times like these when I'm really glad that I haven't devoted myself to trading in the stock and commodities market. Sure there's money to be made, even on the downside.
However, the dynamics of the currency market are far more appealing to me … especially at a time like now when good companies and bad companies are tossed into the same rinse cycle and hung out to dry by fiscal and monetary policy decision-makers.
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Thursday, November 13, 2008
The US Dollar Has Got To Go! / Currencies / US Dollar
By: Chris_Galakoutis
It is clear that the United States has relied on a continuous cycle of debt growth to fuel its economy. The engine of the US economy has been the US consumer, and consumer debt had to expand at a rate that far outpaced negligible consumer income growth in order for the US economy to continue to “grow.”Read full article... Read full article...
Friday, November 07, 2008
How to Survive the Coming US Dollar Collapse / Currencies / US Dollar
By: Christopher_Laird
Now that the US election is over, we get to think about the Future. And, no matter how you look at it, the entire world, the West particularly, is in for tough sledding financially.
First, we will continue to battle an emerging economic slowdown. Then, later, we will be battling world currency instability – we already have signs of this now.
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Saturday, November 01, 2008
Toxic Emerging Economies Boost U.S. Dollar Safe-haven Demand / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: An advance report of third-quarter U.S. GDP showed a decline of 0.3%. That's awfully pathetic, right? But not quite as pathetic as the 0.5% that was anticipated …
Still, there's no denying that a GDP contraction of any amount is unappealing. And when it comes to many of the recent U.S. economic indicators, most everything's been unappealing … if not downright ugly.
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Friday, October 31, 2008
Bankrupt United States Will Reverse Recent Dollar Trend / Currencies / US Dollar
By: Peter_Schiff
When inexplicable events perplexed our early forbears, village wise men concocted elaborate and colorful explanations to soothe the populace. Earthquakes, hailstorms, and solar eclipses were all ascribed to root causes that made sense to the villagers and increased the esteem of the story tellers. The recent, unexpected surge of the U.S. dollar has led many Wall Street witch doctors to conjure a series of logic-defying tales to give reason to what is surely the random scramble of a confused herd. Wall Street spun similar yarns during the dot.com and real estate bubbles as investors groped for reasons to justify sky high prices. Read full article... Read full article...
Tuesday, October 28, 2008
U.S. Dollar Has Entered a Multi-year Bull Market / Currencies / US Dollar
By: Money_and_Markets
Jack Crooks writes: It's a popular notion when the financial winds are blowing unfavorably:
Money is being printed uncontrollably … inflation is the only option … fiat currencies are doomed.
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Tuesday, October 28, 2008
Why Gold Price Rise Will Trigger U.S. Dollar Collapse / Currencies / US Dollar
By: Eric_deCarbonnel
For the last few years, the dollar has been in a bear market due to the horrible fundamentals backing the currency (the huge debt mountain, unfunded liabilities in the tens of trillions, rampant money printing by the central bank, and the huge federal budget deficit). However, in the last three months the US dollar has diverged from its fundamentals and rallied due to investors fears about deflation.Read full article... Read full article...
Monday, October 27, 2008
U.S. Dollar Bull Market Update / News_Letter / US Dollar
By: NewsLetter
October 26th , 2008 Issue #35 Vol. 2The role of the U.S. Dollar as the worlds reserve currency kicked into gear this past week which accelerated the up trend of the US Dollar towards its initial forecast target of USD 90 as per the analysis of mid August 08 which was made against the overwhelming consensuses at the time that basically viewed an imminent collapse of n the US Dollar. Which despite the exceptionally strong rally to date that consensus more or less remains in tact today, where still the vast majority of views remain that the Dollar's rally as temporary in advance of a much greater and near imminent collapse.
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Sunday, October 26, 2008
U.S. Dollar Bull Market Update / Currencies / US Dollar
By: Nadeem_Walayat
The role of the U.S. Dollar as the worlds reserve currency kicked into gear this past week which accelerated the up trend of the US Dollar towards its initial forecast target of USD 90 as per the analysis of mid August 08 which was made against the overwhelming consensuses at the time that basically viewed an imminent collapse of n the US Dollar. Which despite the exceptionally strong rally to date that consensus more or less remains in tact today, where still the vast majority of views remain that the Dollar's rally as temporary in advance of a much greater and near imminent collapse.Read full article... Read full article...
Saturday, October 25, 2008
U.S. Dollar and the Flying Bankers / Currencies / US Dollar
By: Joe_Gelet
The heart of the crisis is very simple: banks won't lend. Why they won't lend is irrelevant, the solution is so simple it seems too good to be true: force banks to lend. The modern economy functions on credit; exporters sell to foreign buyers using complex Letters of Credit packed with shipping insurance, small businesses depend on rotating credit lines to purchase inventory they sell to the consumer. Mostly working on small margins, these businesses depend heavily on credit to stay afloat; even a short disruption in their lending activities would literally bankrupt them. This has already started happening, and the banks are sitting on the sidelines. The simple, clear solution is to force banks to lend, by any means. Giving banks more money is not helping, they already have plenty of money, the problem is not that banks are undercapitalized it is that they will not lend.
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Friday, October 24, 2008
Exploding Debt Dynamics: Argentia and the U.S. Dollar's Fate / Currencies / US Dollar
By: Justice_Litle
Whither the dollar and gold? To answer that long-awaited inquiry – which will take some time to cover in full – let's start by getting a handle on “exploding debt dynamics.” Cartoonish as it sounds, it's a real term that IMF economists use.
If, like me, the phrase gives you visions of Wile E. Coyote blowing himself up with a box of ACME brand dynamite, you aren't too far off.
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Friday, October 24, 2008
U.S. Dollar Currency Collapse Within 30 Days / Currencies / US Dollar
By: Eric_deCarbonnel
It appears that there is a common refrain going around the investment community. It goes something like this:
"Gold should be doing better, and, since it isn't, I am not going to buy it"
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Thursday, October 23, 2008
The U.S. Dollar Death Dance / Currencies / US Dollar
By: Jim_Willie_CB
The US Dollar rally in the last several weeks has been remarkable. At closer examination, it highly resembles a spurt prior to death. Imagine an old man who just had a heart attack, lost feeling in certain body parts, his mind not working right, plenty of nonsense gibberish coming from his mouth, and now he is dancing hard on some last gasps. The vast liquidation movement is akin to the old man going through an embalming process while dancing atop the tables at the funeral parlor, as bidding proceeds for his cadaver. Read full article... Read full article...
Thursday, October 23, 2008
The Strong U.S. Dollar / Currencies / US Dollar
By: Adrian_Ash
"We're for a Strong Dollar" "There are more tears shed over answered prayers than over unanswered prayers..." – Teresa of Ávila, patron saint of headache sufferers
SO HANK PAULSON , Ben Bernanke and George W.Bush got their wish. The US Dollar is now the world's strongest currency.
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Monday, October 20, 2008
Central Banks Scramble to Buy Dollars to Bolster Banking Systems / Currencies / US Dollar
By: John_Mauldin
The G-7 countries now have what amounts to access to the US Fed's window for dollars for their banks. But what of the rest of the world? Brad Setser, an analyst who writes a blog for the Council on Foreign Relations, ask some very interesting questions and points out some big holes in the world economic landscape. If you can't get dollars what does that do to your currency? This contributes to the rise in the dollar against some emerging market currencies. Setser asks: "Where is my swap line? And will the diffusion of financial power Balkanize the global response to a broadening crisis?" Read full article... Read full article...
Sunday, October 19, 2008
U.S. Highly Inflationary Monetary Growth Will Lead to Dollar Implosion / Currencies / US Dollar
By: Ned_W_Schmidt
In previous Dollar Death Ray we saw how size of U.S. Federal Reserve balance had exploded. That financial frenzy continues. In most recent report, Federal Reserves balance sheet, after appropriate adjustment, was 46% larger than a year ago. Most of that growth has come recently during bank bailout scheme. Rarely, if ever, has central bank of a major economy so lost control of its balance sheet, or monetary policy. That expansion of reserve bank credit is now feeding the growth of U.S. money supply, M-2. Read full article... Read full article...
Friday, October 03, 2008
US Dollar Doomed as Credit Crisis Turning into a Currency Crisis / Currencies / US Dollar
By: Jennifer_Barry
When the precious metals were smashed out of nowhere and the dollar started climbing this summer I became very worried. I didn't question my conviction that commodities are in a bull market, or that precious metals in particular are undervalued. I felt something sinister was at work. Neither move was justified on a fundamental level. I assumed that something very bad was about to happen and the metals needed to be brought lower in advance of the bad news. Read full article... Read full article...