U.S. Dollar Index Soars
The U.S. Dollar Index is surging higher this morning as the problems in the European Union continue to escalate. Greece is facing heavy protests, strikes, and rioting this morning by many of its citizens. The yield on the Greek 10 year bond is spiking higher this morning. To add insult to injury, the rating agency Moody's, is expected to cut the credit rating of three major French banks that have exposure to Greek debt. We can only wonder what is going to happen to Portugal, Ireland, Belgium, Spain, Italy, and others throughout the rest of the year.
The stronger U.S. Dollar Index is putting selling pressure on the major stock market indexes, and leading commodities. Should the U.S. Dollar Index pullback intra-day the stock and commodity markets may inflate off of the lows. Short term traders must keep an eye on the U.S. Dollar Index chart at all times this morning.