The long anticipated decline in the dollar has yet to begin. Last year was all Europe. They had their PIGS meltdown, which led to dollar strength. However, with the municipal crisis looming here in the states, one could surmise that the “safe haven” status of the greenback is in jeopardy. You know the story. I don’t have to repeat it.
Separate from today’s market action, the overall trend for dollar based commodities is up. As you know, I have always panned gold and silver. But, as the years trickle away, I grow fond of it. At the present, I am heavily long both EXK and NGD. In addition to precious metals, I like ag and oil. However, it’s worth noting, at the moment crude is correcting.
The market needs to correct; but it doesn’t want to. It’s being propped up by people who have nowhere else to put their money. Consider the record amounts of cash on corporate balance sheets. Then, on top of that, the U.S. now has a savings rate of 6%. Are you going to put money in bonds, CD’s? I think not.
Considering the fact that gold and silver are lagging year to date, look for the asset allocation fuckers to come piling in, as the dollar meets its fate.
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concurred, I will be long SLV options if it will pull back just a bit. It’s not a commodity name, but I already had to get long NKE without a dip.
muni market issues are overblown as they are “reported” on by fools with zero insight into how the market works. there will be no muni market crisis.
I wouldn’t mind if people really freaked out about it first if it lets me buy munis tax free at over 5% int.
Orange County resident, are we?
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Damn, I feel Violated!
purchased LLEN $8.45
Dollar is setting up for a major rally