Dollar Collapse Continues

MARCH 5, 2008: Commodities led the way again. The Nasdaq was up 0.6% making this 2 days of gains in a row for the markets. It appears that the index is headed up to test its 21-day moving average at around 2300.

Commodities continued their bull market run with oil shooting up $5 to over $104 a barrel on supply shortages and flat Saudi production. The spike in crude also sent gold and silver up to new highs. Gold actually hit the illusive $1000 an ounce milestone on the June futures contract today. The sinking dollar hit all-time lows again.

Solar, steel, metals, gold/silver, and oil/gas stocks were strong while banks, financial, and insurance stocks were weak.

JA Solar vaulted 9%. Sunpower, First Solar, So. Peru Copper, Suntech, and Yamana Gold gained 5%. Research In Motion lost 3%.

Here are the top 10 leading groups: Fertilizers, Gold/Silver, Oil/Gas Producers, Farm Machinery, Ores, Steel, Solar Energy, Agricultural Ops, Oil/Gas Drillers, and Mining Machinery. We have to ask ourselves if this is really a stock market rally or a commodities rally? Is inflation really taking off globally evidenced by soaring food, energy, gold, and raw materials prices. I think so.

The stock market indexes have tested their down trending 50-day moving averages from an ‘overbought’ position and failed. IBD has now switched from ‘Market in a Confirmed Rally’ to ‘Rally Under Pressure.’ Gold, silver, grains, and oil are all moving higher in very definite up trends. We may be witnessing a ‘disconnect’ between commodities and stocks.

It’s best to stay on the sidelines in stock markets like this and not get sucked into ‘leaderless’ bear markets. Patience, Grasshopper! More at www.goldenticker.com

CNN: The Next Great Depression Is On It’s Way!

The Inevitable Collapse of the US Dollar – A “must see” video.

Peter Schiff has been a voice of reason for many years and now many of his dire predictions are materializing.

The Stock Market Will Crash Tomorrow-Jan. 22, 08

The Dow Jones “Illusion”

Peter Schiff explains that the Dow has been in a “bear market” since 2000 and has lost ground based in Euros, Swiss Francs, and most other currencies including gold. Your purchasing power is being slowly lost.

Real Estate forecasts from early 2007 – This is great!

It’s great to see predictions a year later and see who got it right. Peter Schiff once again calls it right and “the most smartest investor” Ben Stein gets it wrong again.