The Dollar Is Dead. Long Live The Dollar
King dollar is back
The dollar bears keep waiting for the reversal, but the greenback keeps pushing higher. DXY has broken out, reclaimed key long-term levels, and is tracking both US economic outperformance and rate differentials. Meanwhile, the euro remains stuck in reverse, speculative dollar longs are building, and foreign capital continues to favor US assets. The path of least resistance remains higher, but there are risks worth watching. The dollar bull is alive and well. What could eventually kill it?