Gold Does It Again, Even With A Strong Dollar
The ECB reported on Thursday achieving its desired result in weakening the euro currency and strengthening the dollar. Both goals were accomplished as the euro fell about two cents on the news, making lows not seen since July Gold, after pushing down to our drop-dead support of $1,260, once again managed to rally and close at $1,275.
Naturally a strong dollar, which has exploded the last few days, should have been a hindrance for gold and other dollar-denominated commodities and create problems, but it hasn’t
We are of the belief that the Street is aware of the currency wars and is no longer watching the dollar, knowing that the Fed and other central bank manipulation are only temporary. Gold buyers realize the peril that they are in with the clueless central banks at the helm.