Dollar yen is moving up, and U.S. stocks are following.
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Weekly Update
Dollar Declines Are Bullish
A weaker dollar raised the value of non-dollar central bank collateral, which supports stock prices, as seen in my "Heroin" chart. Recent dollar weakness combined with an increase in the ECB balance sheet has once again goosed the S&P averages. The lag seems to have shrunk from about 12 days to 6.
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Back into the Chop
The FED’s Half Life
The FED can't keep crying wolf. The Yellen rally lasted about 6 hours. Compare that to the 6 week move following Bullard's October comments. The ability of the FED to inflate markets with their own hot air is waning.
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The original Money Printing Pump
click chart to enlarge New Lows on the move again.
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