U.S. Dollar

Profit from China's Currency Move

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China's ambitions for superpower prominence are no secret.

But that requires recognition on the world stage.

Inevitably, that also means a greater role for China's currency, the yuan, in the global finance arena.

There are clear and visible signs that China's currency is on the march to that global position, yet until now they've been underreported.

It's an unstoppable trend, and we can take advantage by taking these critical steps...

How to Profit from a Stronger U.S. Dollar

U.S. Dollar Profit

The Fed plans to wind down its asset purchases this month, but Japan and the United Kingdom are still buying, full swing.

Meanwhile, the European Union is just looking to get started.

And, while the Fed is expected to begin raising rates next year, Europe and Japan recently pushed theirs below zero as deflation appears to be the bigger threat.

That's sent the U.S. dollar into a major run up, with the euro and yen on the losing side.

This adds up to a global currency conflict that's giving us a very rare, very lucrative opportunity right now...

The Rising U.S. Dollar Index Will Nail Multinationals – So Do This Now

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Multinational stocks have started to feel some negative ripple effects of the rising U.S. dollar index.

While a rising U.S. dollar index can have benefits, companies with a lot of global business face reduced sales and profits as their goods grow more expensive. For U.S. companies with substantial overseas sales, this means an extended period of pain.

Here are the companies investors need to watch, and the best strategy for dealing with this situation…

Will a Rising U.S. Dollar Keep Climbing?

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The rising U.S. dollar has climbed to a four-year high - but will it continue?

Appearing on the CNBC program "Street Signs" this morning (Wednesday), Fitz-Gerald explained that wobbly economies in places like Japan and Europe will force central banks elsewhere to further weaken their currencies with U.S. Federal Reserve-style easing programs

In this video, Fitz-Gerald takes a detailed look at the rising U.S. dollar and what it means...

Read More…

Stay Ahead of This (Massive) Currency Shift

China's political and economic presence surges daily. Lockstep with that surge is the growing significance of its currency.

Along with China's emergence as the world's second-largest economy, its yuan recently displaced the euro and became the second-most used currency for international trade.

Chinese leaders are intent on internationalizing their currency by growing its acceptance, perhaps even challenging the U.S. dollar as the new reserve currency, a trend I've highlighted here before.

To reach that goal, new yuan trading centers are being established.

But the location of the next major trading hub is almost certainly not where you'd expect.

And the implications will redefine the power centers of global commerce... Full Story

Don't Fear China and Japan Owning More U.S. Debt

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The U.S. Treasury Department said today (Thursday) that total foreign holdings of U.S. debt rose 1.1% in November to $5.72 trillion, putting foreign holdings 0.1% below the all-time high of $5.76 trillion it reached in March 2013.

In particular, China's holdings reached record levels, increasing 0.9% to $1.32 billion, and so did Japan, which boosted its holdings by 1% to $1.19 trillion. The two countries are the largest and second-largest foreign buyers of Treasury debt, respectively.

To watch the video, click here...

Why the U.S. Dollar is Rising – And Why It's Still Doomed

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Many have wondered - and rightly so - why the U.S. dollar is rising even though the U.S. Federal Reserve has done just about everything possible to debase the currency over the past five years.

Over the past two years, the U.S. Dollar index, which measures the dollar against a basket of major world currencies, is up by more than 12.6%.

Part of the answer is that most of the world's other central banks have pursued easy money policies similar to the Fed's. In the so-called "currency wars," the U.S. dollar has one major built-in advantage.

"The U.S. has never defaulted," explained Money Morning Chief Investment Strategist Keith Fitz-Gerald. "The world may hate our guts, but when all hell breaks loose, they all love our dollar."

Also helping to explain why the U.S. dollar is rising is that it remains the world's reserve currency - the money a majority of nations use to buy commodities such as oil -- and that the U.S. economy, for all its warts, is in better shape than most of the other developed economies in the world.

"The dollar the best-looking horse in the glue factory," Fitz-Gerald said.

So it wasn't too surprising that when the Fed recently hinted that it might start "tapering" its quantitative easing (bond-buying) policies later this year, the U.S. Dollar index spiked 3.1%.

But Fitz-Gerald said that investors still need to be wary of the stronger U.S. dollar going forward.

This Sept. 2 Event Could Send the U.S. Dollar Crashing

To continue reading, please click here...

Don't Bet Against a Surging U.S. Dollar

Currency USD In the midst of a brewing currency war, Japan's out-of-control monetary policy has caused the yen to fall to an almost five-year low against the U.S. dollar.

With an economy one-third the size of that of the United States, Japan has committed itself to a fiscal program that's almost double the U.S. Federal Reserve's current $85- billion a month stimulus.

Like any other war, this battle of monetary-easing measures won't end well, but fortunately for Americans, it's looking more and more likely that the dollar will emerge victorious.

"Right now, the U.S. dollar is the 'cleanest dirty shirt in the laundry,' so I'd buy it," said Money Morning Capital Waves Strategist Shah Gilani.

The dollar now stands at 101.93 against the yen, the first time it's broken the 100 mark since 2009, and is up 26.6% in the past six months.

Many experts are now predicting the dollar's climb has just begun and some analysts see the dollar hitting 105 yen this summer and possibly 110 by the end of the year.

"The turn in yen has been dramatic and has proven the importance of momentum when a multi-year cycle turns," Nomura currency expert Jens Nordvig wrote in a note to clients. "A similar dynamic could be in store for the dollar. In the scheme of things, the USD REER [Real Effective Exchange Rates] is still trading close to multi-decade lows. Once the turn is evident, we believe momentum could be powerful."

Here's why the U.S. dollar's run is just beginning.

To continue reading, please click here…

Are You About to Lose Your Savings in the Currency War?

In the Currency War, the "end game" is a race to the bottom. Because really, under a fiat money system, there's nowhere else to go.
Unfortunately, I believe the U.S. is on the same path.
This was just confirmed by Kyle Bass, founder and principal of Hayman Capital Management, a Dallas hedge fund, who has profited handsomely from prescient calls on events from the subprime mortgage meltdown to Greek sovereign debt restructuring. In a recent discussion with a senior Obama official, Bass disclosed that he asked how the U.S. would be able to grow exports if they don't allow nominal wage deflation. The official's answer: "We're just going to kill the dollar."
There is one way to protect your net worth from all these central bank shenanigans. In my view, the answer is to own and accumulate gold.
So I suggest you ignore what central banks say, and instead do what they do...

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