• 2 hours Gold-Stock Mega-Mergers Are Bad News For Shareholders
  • 20 hours 166-Year-Old Fashion Icon Plans IPO
  • 1 day Copper Prices Stabilize After 5-Day Decline
  • 2 days Amazon Bails On NYC
  • 2 days Central Bank Gold Binge Sparks Buying Signal
  • 2 days Are Democrats Right To Dismiss Nuclear Energy?
  • 2 days JP Morgan Launches A Cryptocurrency
  • 3 days China’s Mountain Of Debt Is About To Crumble
  • 3 days Medical Bankruptcy Is Killing The American Middle Class
  • 3 days Gold Jewelry Fuels $20 Billion Valentine’s Spending Spree
  • 3 days Gold Inches Upward On Dollar Weakness
  • 4 days The Geopolitics Of Cheap Tabloids
  • 4 days Is Germany’s New Industrial Strategy Good For Its Economy?
  • 4 days The Biggest Bottleneck In The Renewable Revolution
  • 4 days Major Gold Analysts Predict A Good Year For Precious Metals
  • 5 days 40% Of Canadians Pay Zero Income Tax
  • 5 days Markets Turn Bullish After Bad Fourth Quarter
  • 5 days Tesla Dominates Latest Global EV Sales List
  • 5 days Markets Start The Week On A Positive Note
  • 6 days The Lucrative Business Of Blind-Eye Banking
Saudi Arabia Plays Both Sides Of Russia-U.S. Spat

Saudi Arabia Plays Both Sides Of Russia-U.S. Spat

Saudi Arabia’s ongoing-and-growing relationships with…

The Chatroom Cartel Running Global Bond Markets

The Chatroom Cartel Running Global Bond Markets

Eight major banks have been…

  1. Home
  2. Markets
  3. Other

US Dollar Update

This is an excerpt of the weekend update sent to subscribers on Sunday. The focus on this portion is the US Dollar Index which will largely determine the direction of silver and gold in the years ahead.

.... but to put things into a longer perspective, look at the chart below. The aforementioned US Dollar Index is charted in green since its inception in the early 1970s when the dollar finally shrugged off any pretence to being linked to gold.

US Dollar Index Chart
Larger Image

The darker line is simply the index divided by its 200 day moving average. I have drawn a horizontal line through its most significant peaks occurring in June 1981, March 1985, November 2008 and March 2015. Looking more closely at these peaks, the 1981 peak heralded a mere 4 month decline in the Dollar, but the 1985 peak was the precursor to a 7 year decline and the 2008 one to a 3 year decline. It is the perhaps no surprise that the most recent peak last year has so far watched over a 13 month decline.

But how much further will this dollar decline go? My money is on a period more in keeping with seven years rather than mere months. The dollar's bull days are over; it is time for gold and silver to take the stage again!

 


Further analysis of silver can be had by going to our silver blog at http://silveranalyst.blogspot.com where readers can obtain subscription details for the Silver Analyst newsletter. A free sample copy can be obtained by emailing silveranalysis@yahoo.co.uk.

 

Back to homepage

Leave a comment

Leave a comment