I have a very hard time believing the dollar goes any higher despite what everyone is saying. The reasons are the arc (light green), the highs of the mid 90s ought to be higher than today, and the ascending channel we broke out of and are now back-testing will reject the ascending dollar.
Unpopular opinion I am sure, but if not now, soon after rates are hiked, we'll see dollar weakness when the interest on the national debt goes 20% of revenue. Currently 10% of treasury revenue is interest payments on the debt. At 0-0.25% Fed interest rates. What happens when they go up?
Unpopular opinion I am sure, but if not now, soon after rates are hiked, we'll see dollar weakness when the interest on the national debt goes 20% of revenue. Currently 10% of treasury revenue is interest payments on the debt. At 0-0.25% Fed interest rates. What happens when they go up?
Comment:
DXY is respecting the green arc. Following it downward.
