Tag Archive: correlation

Why Investors Must Watch the Dollar

After seeing months of lower prices, the dollar index has been on the rebound lately, trading at a 4.5 month high in recent sessions. The upside in the dollar has kept a bit of a lid on gold prices-for now anyway-and the relationship between the metal and the currency is a very important one to understand. Like many other commodities, gold is denominated in dollars. This means that when the dollar is higher in value, gold becomes relatively more expensive for buyers in other currencies.... Continue Reading

3 Important Questions to Ask

There is without question a very strong case to be made about why you need to have physical gold as part of your portfolio. This asset class can not only potentially see significant appreciation in value, but may also provide an important hedge against numerous economic and geopolitical issues such as inflation, deflation, a weaker dollar and more. Perhaps the more important question to be asking is not if you should incorporate gold into your investment strategy, but rather how much gold should you buy... Continue Reading

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Is Gold Sending a Key Signal?

The gold market has not given up much ground in recent days as the dollar index saw a significant bounce. In fact, the gold market has tested support levels in the mid $1260’s and has seen buying interest uptick and a bounce several dollars higher from that level. While this may, at a glance, appear to be nothing more than standard market “noise,” it could also be indicative of underlying strength in the gold market and perhaps even a split from the market’s correlation to... Continue Reading