The Year of the Dollar is here

US $ since the onset of the 2007 credit crunch

US $ since the onset of the 2007 credit crunch

my gosh what a market: gold is trading $1556, oil is priced at $87, the S&P 500 has lost almost 7% since hitting its high last April and everyone the planet wants to hold the US Dollar. As I wrote (speculatively) on February 14th, 2012, this might prove to be the The Year of The Dollar and as the chart above shows, that prediction has come true. Why? Well, everyone knows the cast of characters: the Eurozone continues to give the appearance of sliding towards financial chaos (not totally true, mind you) even as Eurozone leadership fails to take the strong decisions that ultimately will prove necessary, China is slowing, Japan is slowing, the possibility of a Eurozone wide recession is on the table and some folks think the major economies on the planet could enter an unprecedented, coordinated global recession as early as 2013. The Dollar, for better or worse, is the single remaining safe haven on the planet. For now. The US is not without it’s own problems as I’ve documented in the past. If you’re looking for a real safe haven, I suggest you take advantage of current conditions to acquire gold and silver. That’s what I’m doing.

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