Info!! A Await At The U.S. Dollar In Addition To Treasury Rates

Note today's upside intermission inward the USA dollar (UUP; transcend chart) in addition to inward 10-year Treasury rates ($TNX; bottom chart).

During the marketplace turn down of 2008 in addition to 2009, nosotros to a greater extent than oft than non saw a rising dollar accompany falling stocks in addition to falling involvement rates (rising Treasury greenback prices). The dollar in addition to Treasury debt acted equally relative rubber havens during the rout of stocks.

Now, however, nosotros accept been seeing a stronger dollar since belatedly 2009 along amongst stronger stocks. Treasury rates accept too been on the rising since that time.

Rising rates produce non look to locomote signaling inflation, equally long equally nosotros accept a theatre USA dollar. Indeed, commodity prices accept stayed relatively tame in addition to were downwards sharply today. Rather, buying of Treasuries from abroad may locomote slowing downwards in addition to traders may locomote betting that the Fed volition tighten credit atmospheric condition earlier inflation becomes a problem.
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