This notion that the pull back in commodities like oil and gold is BECAUSE of the stronger dollar is a bit odd...
Why is the Dollar stronger...
The FED is done raising rates...they are in total panic about the house bubble crashing...and the slow down in consumer spending.
The banks are taking in foreclosures at record rates...eventually that starts to bite the dollar.
The debt and deficits in Washington are determined to "stay the course" until the bond market starts to punish the economy... Shades of Vietnam and Johnson... Yes you can fool the bond market for a while ...but not forever.
The wars are going lousy...and getting worse. And who knows maybe Osama isn't dead yet.
WHY THE STRONGER DOLLAR? I JUST DON'T SEE IT.
Likely this is just a market phenomenon...induced by the big money hedge funds, central banks and other big players who are not quite ready for the Post-Dollar Global Economy...
But it's coming...all the macroeconomic data is pointing away from the dollar now.
