I hope everyone had a great weekend. I am back after a weekend getaway.
As we all watched the dollar fall like a rock last week, I figured tonight would be a good time to talk about the ramifications of a weaker US dollar.
Peter Schiff did a great job explaining what it really means in this piece from the Tech Ticker so I'll let him do the talking.
Peter took a lot of heat the last few years on his crashing dollar/decoupling thesis as the dollar soared when the global financial system appeared to be on the brink of collapse. I think he was right but just a bit early. He did nail the gold trade.
I will be back in the saddle all next week so you can expect to hear a lot from me. As I said earlier, I think we are beginning to see signs that the Fed is beginning to lose control of things in the markets.
The next several weeks are going to be critical. Futures are off to a nasty start tonight. Gold is down sharply and the dollar is bouncing up a tad which is to be expected after last week's tailspin.
Longer term the outlook for bucky remains murky at best. We have several Fed POMO's next week so I don't expect things to get too nasty. In fact, I wouldn't be surprised to see stocks hold up next week despite the fact that it appears we are going to get off to a rough start in the moring.
Time will tell.
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