Dollar under pressure, Dow contagion fuels nervousness
The US Dollar is looking a little under pressure today, and is losing ground against pretty much everything, and noticeably against the traditional safe-havens of Gold (XAUUSD) & the Swiss Franc (USDCHF), as well as the non-traditional crypto.
The Stock market roller coaster has slowed down for the time being but it’s worth bearing in mind that movements such as we have seen recently, with the Dow (#Dow30) down 3,500 points in just over a week, make the markets nervous. However it should be remembered that the Dow has climbed faster than the European & Asian stock markets, and although Dow falls are contagious, a decline of some sorts had been foreseen. The recent fall will affect confidence in any recovery, as the first sign of any profit-taking will send Bulls scurrying for cover once again. However, dips such as this are an opportunity for bargain hunters, and stock-picking Fund Managers who see value in companies will doubtless be availing themselves of the opportunity to add to their holdings at prices they could scarcely have imagined at the beginning of the year.