Blue sweep of Congress will add pressure to weak dollar, analysts say
“Victory for the Democratic party in this week’s Senate run-offs will add to the long-term pressure on the US dollar, which was already expected to continue its slide this year, analysts say.”
USAGOLD note: Gold’s selloff last week was driven by a flight from safe havens – that departure, principally from the bond market, added high octane to the speculative stock market frenzy. A number of analysts, though, believe that the most dangerous outcome will be a sharp decline in the dollar. Over the past twelve months, the U.S. Dollar Index is down 12%.
U.S. Dollar Index
Courtesy of TradingView.com • • • Click to enlarge
Repost from 1-11-2021