The US Dollar Index (DXY) is nearing the July high at 10929, an important high as the bull cycle looks set to continue. We may not see the dollar break out and run without a set-back, but as we head towards the fall the anticipation is we will see much higher levels.
The timing of this recent round of strength comes as we head towards a weak time of the year for stocks, and with the S&P 500 looking to have already concluded or very near completing a counter-trend summer rally, we could see the resurgence of dollar-on, risk-off in a big way.
