Loading ...Ya know, when the 10 yr went 1.5% to 3%, even higher rates were dominant predictions. The mass widely held opinion. I insisted rates topped and had to go lower. So far so good.
Now, when the idiot Dollar went from 89 in April to 94-95 area recently the widely held opinin is a stronger dollar. Again, I do not agree.
And if the dollar bulls, or speculators, keep having fun going long the dollar, sooner or later the Fed will “punish” them with some news of some type, or have Goldman Sachs place some big sell orders.
The dollar has to go lower to help the USA. Same thing in around 2000. As soon as little George got in they put on tariffs until the lower dollar they created, got prices higher. Then they removed the tariffs.
P.S.
If Gold, the pituitary gland of the global financial system, is going down because of natural market forces? And keeps going Dow? That would imply or fit with a major reversal of the dollar losing its purchasing power after the 1945 Breton Woods agreement.
Can you imaging dollars GAINING value?? For a change. Minimum wage $1.40/hr, new cars $1000 to $2000, houses $20k to $40k? And Gold at $140/oz.
If massive global trade is in reverse a LOT LOT less oil or rather diesel fuel would be needed. Lower Oil. If they stop war games and start winding down defense spending, a whole lot less metals would be needed. Lower metals prices.
The metals production today is probably MORE than when WW II was going as if we were still at war. There is one big financial mess unfolding gradually.
The tipping point was Y2K, dot com bust and 9/11/01. The Fed panicked and started real estate boom bust, causing the crisis of 2008. During Obama’s eight years, ‘08 to ‘16 the reversal was very gradual.
Too little for too long. Once they switched to Trump, I think they are in panic mode again. Very aggressive at reversing the past.