Concur. But downside likely to be very choppy. US$ cash remains attractive if/when stocks, bonds sell off. DXY is heavily influenced by $/€ rate - € sell-off yesterday after Draghi opened his mouth pushed $ up. $/¥ rate also has big part in DXY index - Abe's recent re-election & prospect of more Abenomics pushed $/¥ up. I believe these will be short-term moves. All fiat is headed towards garbage-dumps of history. DXY is an index of US$ fiat in terms of other fiat - €, ¥, £,... they're ALL now very sick in intensive care of central-bank doctors whose policy of quantitative easing (QEeer) is NOTHING more than easing sick fiat into deathbeds of history. Pricing of hard assets in terms of fiat currencies has become an exercise like pricing things in monopoly game money. Central banks, including the Fed, have pushed QEeer fiat money onto global market tables mostly accessible only to rich monopoly game players. Timing of US$ & other fiat collapses may well depend on how long central bank talking heads can maintain confidence in their insane game. When realisation comes to more people that central bankers have pulled a confidence trick on ordinary folk just to keep their insane monopoly game going then CONFIDENCE COLLAPSES, THE GAME ENDS IN TOTAL CHAOS! We may be very close now! Who still believes in Yellen, Draghi, Abe's nomics & QEeeer? When fiat collapse comes, an index like DXY won't mean anything at all! IF say € or ¥ collapse before $ then DXY could shoot over 100+... but who wants to be left holding worthless fiat currency when those responsible for its issuance have LOST ALL CREDIBILITY? At this final stage indices like DXY become nothing but measures in relative insanity.
Concur. But downside likely to be very choppy. US$ cash remains attractive if/when stocks, bonds sell off. DXY is heavily influenced by $/€ rate - € sell-off yesterday after Draghi opened his mouth pushed $ up. $/¥ rate also has big part in DXY index - Abe's recent re-election & prospect of more Abenomics pushed $/¥ up. I believe these will be short-term moves. All fiat is headed towards garbage-dumps of history. DXY is an index of US$ fiat in terms of other fiat - €, ¥, £,... they're ALL now very sick in intensive care of central-bank doctors whose policy of quantitative easing (QEeer) is NOTHING more than easing sick fiat into deathbeds of history. Pricing of hard assets in terms of fiat currencies has become an exercise like pricing things in monopoly game money. Central banks, including the Fed, have pushed QEeer fiat money onto global market tables mostly accessible only to rich monopoly game players. Timing of US$ & other fiat collapses may well depend on how long central bank talking heads can maintain confidence in their insane game. When realisation comes to more people that central bankers have pulled a confidence trick on ordinary folk just to keep their insane monopoly game going then CONFIDENCE COLLAPSES, THE GAME ENDS IN TOTAL CHAOS! We may be very close now! Who still believes in Yellen, Draghi, Abe's nomics & QEeeer? When fiat collapse comes, an index like DXY won't mean anything at all! IF say € or ¥ collapse before $ then DXY could shoot over 100+... but who wants to be left holding worthless fiat currency when those responsible for its issuance have LOST ALL CREDIBILITY? At this final stage indices like DXY become nothing but measures in relative insanity.
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Nice thoughts, E4.
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