Any rally in commodities will likely be helped or hurt by what happens in the U.S. dollar. I think that mounting U.S. debt could be a real problem for the dollar, but that’s longer-term. In the short-term, economic news has been generally positive, and this is giving the dollar a boost. It ended last week at overhead resistance …
I think the dollar has the “oomph” to power to overhead resistance around 80, but the proof is in the pudding. A continued dollar rally would hopefully give us a chance to buy commodities on the cheap.
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{ 1 comment… read it below or add one }
Hi Sean,
First, know that I follow you avidly and forgive you for Bayou Bend rec, lol.
I’m not a trader but I have avoided the US$ for a decade (I’m Cdn.) and that iron rule has served me very well.
I expect it to do so for the rest of my life. Sure, I’d love to own 3M and J&J but not in US$. There will be blips to be sure but long term, soyonara and In Gold, I Trust.
Keep up the great work.
TDG