I told you yesterday that the Australian dollar (AUD) was weaker because of the uncertainty of the leadership vote that Prime Minister Gillard won over the weekend, but that it would bounce back quickly, and that’s exactly what it did. I had just hit send, and I noticed the A$ ticking higher, and by midmorning, the A$ was back to $1.0750, where it seems to have stalled out, but remains a buy for those investors around the world looking for yield, and don’t want to go out on the limb with Brazil.
[Read more...]Currencies Rally on Eurozone Agreement
January 31, 2012 By Leave a Comment
The currency rally that stalled yesterday was back on last night… I have to tell you that I was up most of the night on Sunday and after getting poked and stuck at the doctor’s office yesterday, I went home, straight to my recliner and slept for the next five hours! Then I woke up, went to my computer and checked the overnight markets, and I saw the currencies had turned around, along with gold. So naturally, I began to scour the news to see what was going on.
[Read more...]Gold Rallies During “Risk-On” Trading
October 27, 2011 By Leave a Comment
Why did the Dow Jones Industrial Average soar 162 points yesterday? And why is it rocketing another 300 points this morning?
Was it because Consumer Confidence for October plummeted from 46.0 to 39.8…or was it because the number of Americans who signed contracts to buy homes fell for the third straight month?
[Read more...]US Dollar Gains Huge Chunks of Ground
October 3, 2011 By Leave a Comment
Gold has picked up the pieces of its drop, and is rallying this morning, with it up right now: $34… As I walked by Aaron’s desk on Friday, he stopped me to show me a video of a news reporter saying something like… Investors should not buy gold, but should instead hold dollars, because…dollars are backed by the US government, and gold is backed by nothing…
[Read more...]Will the President Announce HIA II Tonight?
September 8, 2011 By Leave a Comment
Front and center today I have to tell you that I do believe that a Perfect Storm is brewing for some dollar strength… You see… First we had the Brazilian move last week that allowed the dollar to recover lost ground against the real… Then we had the Swiss announce a floor for the franc, which on the pairs, carried over to dollar strength against the franc… And now tonight…
[Read more...]US Dollar Rallies as Swiss Franc Loses Its Ability to Float
September 6, 2011 By Leave a Comment
There’s a fly in the ointment, folks… The ointment being the bailouts of Greece, Ireland and Portugal… A German court is going to rule on the constitutionality, or legality, of Germany’s participation in the bailouts, and this ruling is expected tomorrow, September 7th!
This is like here in the US, where we just circumvent the Constitution and it takes a ruling by the Supreme Court to overrule something that should never have started… Well… Apparently, Germany’s participation in the bailouts is considered to be against the law of the land… Germany’s Chancellor, Angela Merkel, has tried to sneak the sun past the rooster here, and now, we’ll see if the German Court will look the other way or not…
[Read more...]Currencies Take Their Turn Beating on the US Dollar
August 23, 2011 By Leave a Comment
Front and center today, gold and silver are seeing some profit taking, after gold climbed as high as $1,897!!! ($1,910 in futures!) I told the boys and girls on the desk yesterday that I truly believed that once gold moved past $1,900, that it wouldn’t take long for it to get to $2,000, because of all the momentum behind it, and the idea that so many analysts have called for $2,000 gold… Of course, I don’t know anything “inside” that would make me think that… It’s simply my opinion, and I could be wrong!
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Chinese Imports Remain Robust
Good day. Another well-pitched game, and a couple more home runs for my beloved Cardinals last night. I must say, it’s been a very good start to the season, but we all know it’s a marathon season, and getting too lathered up early can lead to disappointment later, so I’ll just say I’m pleased they have started so well.
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