Ben Bernanke Bonds and the greenBack

Dollar update...do we top out at 94 or 96?

I think the FED has the answer. When the FED skips one increase, look for an intermediate term top thereafter...
 

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Do you mean each currency in relation to gold?

I have found, over the years, that the currency that provides the best relative return is always the currency of choice. i.e. rates continue to climb on a regular basis here, so the Dollar keeps climbing.
 
The Dollar appears to be stuck at the 92 pivot.
But it does look like it's preparing to move higher again, as long as it hold 90.80.

Any thoughts?
 

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I would have to disagree with you.

Not even in the roaring bull market to $800/oz was Gold considered money. It was just a hedge against inflation.

Gold has been depressed for over 20 years. And it would appear, with the rise in Crude Oil. Gold is adjusting its fair value, and being used as a hedge against a potential of runaway Crude prices. It's still a precious metal.
 
I recall December 2004 - on my chart it looks to be the bottom or close to the bottom - I picked up a copy of a financial magazine somebody left in the lounge. I vaguely remember it was Business Week magazine. Warren Buffet's picture was on the cover. The feature story was about how Mr. Buffett placed a big bet on selling dollars and buying foreign currencies. Mr. Buffett is a very smart guy and controls a pig pile of money. The problem I have is that if the biggest of the big guys buys, even if his reasoning is sound the price might go down. Why? Because there is nobody bigger than he is to buy the currency at a higher price and return a profit to Mr. Buffett.

Maybe when I see a Fortune magazine with George Soros's picture on the cover and a feature article about how Mr. Soros is buying dollars and selling euro then I might witness the top of the U.S. dollar.
 
interesting......

American economists are really confused when the dollar is rising and so is gold....screws everything up

when gold rises in relation to all currencies...it really screws things up

when you own gold, I believe you own an call option on all paper, regardless of origin...

something bankers dont like...............
 
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