US Dollar Slide Continues. By Gregory Mannarino
In what seems like an unstoppable event, the US dollar continues to lose value. (The US dollar is down again in early trade).
As I have been saying for months, the US dollars downward spiral will continue with no end in sight as the Federal Reserve strives to hit their inflation target.
Although the weaker dollar is stock market supportive, the fact that the dollar is losing so much of its purchasing power has the potential to pinch the consumer as now consumers will need more of these weaker dollars to buy everything.
In my opinion it is just a matter of time before the weak dollar starts to hurt consumers, as they watch their purchasing power whittle away. Moreover, because consumer spending is about 70% of the US economy, the weak dollar has the potential to hurt GDP moving forward.
Gregory Mannarino @marketreport
Somebody's getting ready for a big reset , this can't go on forever, cheers mike
Thank You Greg I really appreciate all of your insight on the markets. There is never a BAD TIME to Buy Physical Silver..............................Up Voted.
Yup...You are so right. Use the time wisely and buy now.
it's a steal right now
Is it? Then what was silver 3 weeks ago...when nobody was saying a word about buying because everyone was waiting for more "direction" or they were all just plain too skeeerd to buy at SLV 14.50 or less. Now that SLV is about to push thru $16 though (taking "physical" silver with it)...it's now painfully "obvious" how cheap it is...right? Ever wonder why the "ave Joe" gets his ass kicked trading silver? Are you the "ave Joe"...now proclaiming that silver is cheap?...or is there truly only one Joe...JUST Joe! :-) I dare you to buy silver whenst I announce my next "add to" in my silver short at my blog. Go ahead...be a hero. :-)
Accumulate not go all in!
You won't hear any "all in" calls anytime soon. "All out!" is MUCH more likely. And wait'll you see what the locals are spewing "by the minute" about Bitcoin and the rest of that "fantasy" world soon. Atleast you have "diversified" your future "submersification." Oooh! Gotta copyright the word submersify (Copyright: JoeJustJoe, 7/31/17) :-)
A weaker dollar, stagnant wages and unemployment actually closer to 20% does not bode well. Our dreaded house guest stagflation looks more and more like he's coming for a visit.
I really thought it would bounce before further downside, but it hasn't yet. I agree, consumers will start to feel the lack of purchasing power soon
Not with me on the job. Not only will the dollar become king again soon, but you will be paying less than 1.50/gal for gasoline if you live anywhere but the state of California. People from Cali are "required" to pay a premium for EVERYTHING that the rest of the country does not have to pay. It's written in the state of Cali's govmint charter. Don't quote me on that though. Personally I think you get stupid the second you cross the Cali state line. :-)
Possibly, but I was expecting a rally in commodities first. We will see
Huh? Even physical silver has run almost 10% in 3 weeks. What do you consider a rally? And how much are you earning on your passbook savings account at the bank if 10% in one month wasn't good enough for you to even consider it a rally in silver? :-)
I've been expecting gold to move up to around 1550 soon to complete it's current Eliot Wave structure. Although, it could make another move down below 1200 first. And the dollar and gold could rise together.. I expect silver to move the same direction as gold. So silver over $20..I'm talking in a 6 month time period though, I'm not as good when it comes to short term movements
Good luck with that. In the meantime I can start a ledger for anyone else here at Greg's place who is waiting for silver $20+ and gold $1550+. Simply log in your name and next of kin you would like me to contact (with contact info) in case the next drop makes you go splat!! :O
Haha you could be right, but it's a win win for us gold bugs. we would get to buy physical metals for cheap if that happens
You forgot to ad >>> "...and besides, who cares about the time value of money when Argamegdon is almost upon us anyway? Sure, I could have used the 50% I lost in dollars by holding gold and silver to buy Weight Watcher's (WTW) menu items at a drastic discount now that JoeJustJoe is working on Oprah via the Oprah diet. But do I look like I have to lose weight?" :-) Oh, gotta go, Tessie is approaching an impotent weight loss goal now that I have her back on my Tessie diet. If I don't watch her she will jump right thru the internet and chew Greg's face off! What would you guys n gals do then? :-)
Thank you Greg; your updates are always appreciated!
In Canada inflation for things we need are up %30. Of course they are 2 steps behind trying to match a sinking US dollar.
Inflation!! Citizens be damned!
It is a race to the bottom. Who can devalue their currency the fastest. That is why I am a crypto metal head.
Thanks Greg. So even if some OPEC member don't cut supply or out right dump, crude will still go up as a result of the dollar slide? Is there a point where there is just too much supply that crude goes down?
But...but...but...Greg. I just told you I bought the dollar this morning. Oh ye of little faith! :-)