Tag Archive: dollar collapse

The Vote Is In – Brexit Becomes Reality

In a historic vote that shook financial markets on Friday, the people of Great Britain have voted to exit the European Union. While optimism over the nation remaining in the union seemed to be on the rise heading into Thursday’s vote, things changed quickly once the votes starting being tallied. Stock index futures, interest rates and currencies starting seeing massive volatility on Thursday night as the results came in. Brexit was becoming a reality… At one point, S&P 500 futures went “limit down” with a... Continue Reading

The Dollar Index Could Be at the Cliff’s Edge

The dollar index is a measure of the value of the U.S. Dollar versus a basket of other currencies. When the index is rising, the dollar is appreciating. When the index is declining, the dollar is depreciating. The dollar index is currently near a key previous low that, if breached, could potentially see a significant leg lower in the dollar’s value. That’s right. The greenback is precariously close to seeing what could be a significant decline against a basket of other currencies. And guess what.... Continue Reading

If You’re Not Worried About Your Retirement, It May Be Time to Start

If you are like most Americans, you have probably worked very hard for a long time. Hopefully, you have been putting money away in the hopes of one day retiring and enjoying your life without having to concern yourself with money. If you have saved diligently you should be proud. If you haven’t, it’s not too late. While having a nice nest egg put away may provide a great deal of comfort, it’s not enough. The question then becomes how to protect that nest egg.... Continue Reading

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Why Are Nations Adding to Gold Reserves?

Governments and their central banks represent the largest players in modern financial markets. If these financial superpowers are acquiring and stockpiling more gold, maybe you should consider an allocation in gold as well. Gold’s importance to the global economy cannot be understated. The reality is that if gold were simply a relic of the past without true purpose or value, central banks would not buy and hoard the yellow metal. What do these central banks know that you don’t? Central banks began adding to gold... Continue Reading

3 Simple Reasons For Dollar Downside

It’s no secret that the dollar and gold often exhibit a negative correlation. Because gold is a dollar denominated commodity, a weaker dollar makes gold relatively less expensive for foreign investors while a stronger dollar makes gold relatively more expensive. It’s also no secret that the dollar has been losing value for years. In our view, loss of value is inevitable when it comes to fiat currency. Unfortunately for users of fiat currency, as their value declines they buy less goods and services. While all... Continue Reading

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Could the Fed Return to Quantitative Easing?

The question of whether or not the Fed would actually raise interest rates for the first time in almost a decade was answered in December. After several months of speculation, the central bank stuck to its plan of an initial rate hike by the end of 2015. Was this rate hike justified? Maybe yes, maybe no. Certainly debatable… Now that a new year has begun, investors have been trying to gauge the central bank’s intentions on further interest rate hikes. The generally accepted thought was... Continue Reading

Monetary Policy Matters Not

  A lot has been discussed in recent months concerning the Fed and its potential plans to begin hiking interest rates. One week the Fed is seemingly on hold, the next week the central bank is getting ready to hike. During this see-saw discussion of the beginning of the tightening cycle, the Fed has consistently stated that any decision with regards to interest rates would be “data dependent.” The equity markets are now in an absurd state of uncertainty. A bad piece of economic data... Continue Reading

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