Category: US Dollar
The analysis published under this category are as follows.Tuesday, September 29, 2009
U.S. Dollar the One Investment That Might Be About to Bottom / Currencies / US Dollar
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.
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Monday, September 28, 2009
Bernanke’s Grand Strategy to Let the U.S. Dollar Fall / Currencies / US Dollar
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.
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Monday, September 28, 2009
U.S. Dollar Crashes Against Yen! Time to Act! / Currencies / US Dollar
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.
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Friday, September 25, 2009
U.S. Dollar Forecast, Major Low in Q4 of 2011 / Currencies / US Dollar
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.
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Thursday, September 24, 2009
U.S. Dollar Up While Crude Oil Slips / Currencies / US Dollar
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 $44.01, while at the same time risk averse investors finally bought enough dollars (from Dec, 2008) in their acute flight to safety. Since then, equity and oil prices have climbed sharply, while the daily Dollar index (DXY) gave up all of its panic flight to safety gains in what looks like a panic back into riskier assets-- perhaps until recently. In the case of oil and the US Oil Fund ETF (USO), prices actually peaked in June, at which time they went into a contracting coil pattern that appears to have ended yesterday with a resolution to the dowside.
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Wednesday, September 23, 2009
New Deadly U.S. Dollar Carry Trade / Currencies / US Dollar
A powerful hidden engine existed for close to 20 years called the Yen Carry Trade. The engine produced tainted trillion$ 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.
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Monday, September 21, 2009
Inflation Pressures Rising Again / Stock-Markets / US Dollar
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.
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Saturday, September 19, 2009
U.S. Dollar Imminent Upside Reversal? / Currencies / US Dollar
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.
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Friday, September 18, 2009
U.S. Dollar Index, The Trend Is Your Friend / Currencies / US Dollar
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.
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Friday, September 18, 2009
Easy-Money Fed Fueling U.S. Dollar “Carry Trades” / Interest-Rates / US Dollar
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.
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Thursday, September 17, 2009
Buy the U.S. Dollar / Currencies / US Dollar
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.
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Wednesday, September 16, 2009
US Dollar USD Index Important September Update / Currencies / US Dollar
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.
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Monday, September 14, 2009
U.S. Dollar Entering Free Fall Crash Territory / Currencies / US Dollar
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.
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Friday, September 11, 2009
U.N.’s Anti-Dollar Talk a Problem of Our Own Making / Currencies / US Dollar
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.
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Wednesday, September 09, 2009
USD Bearish Clamour, The Dollar Won't Go Quietly / Currencies / US Dollar
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.
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Tuesday, September 01, 2009
U.S. Dollar on the Move / Currencies / US Dollar
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.
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Tuesday, September 01, 2009
The U.S. Dollars 2009 Slide, Banana Ben Strikes Again / Currencies / US Dollar
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.
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Monday, August 31, 2009
September Crucial Month for U.S. Dollar, Fall or Rise? / Currencies / US Dollar
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.
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Monday, August 31, 2009
U.S. Dollar Crash Count Down Madness / Currencies / US Dollar
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.
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Saturday, August 29, 2009
The Power of the U.S. Fed, Deflation and U.S. Dollar Devaluation / Currencies / US Dollar
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...