Thursday, February 13, 2014

Gold Rockets as US Dollar Gets Crunched -- Chart

Gold tested $1,300 today. Let me show you one reason why ...

I'm putting together a Gold & Resource Trader issue for tomorrow, including this chart of the PowerShares DB US Dollar Index Bullish Fund (UUP), which tracks the US dollar ...

(Updated chart)

As you can see from the chart, the dollar crumpled like wet tissue paper on Thursday. Traders are blaming the swoon on the weak jobs and retail numbers, and that may have something to do with it.  Weak jobs give the U.S. Federal Reserve another reason to keep up its quantitative easing program or find some other way to goose the economy with easy money.

And that is very good for gold. And your open gold miner positions.

I have a bunch more stuff in tomorrow's issue of Gold & Resource Trader.  Subscribers should stay tuned.

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