by Greg Guenthner
The U.S. dollar has fired a warning shot across the bow of the commodities market.
Anyone exposed to metals, miners, and oil plays needs to heed the dollar’s threat. If the greenback continues to press higher, we can expect more short-term pain in the commodity space.
Let me set the scene for you…
For the first half of 2016, the U.S. Dollar Index drifted lower. But in early May is where things really get interesting. The buck tripped and fell flat on its face, tumbling below its 2015 lows. The dollar was quite literally teetering on the brink. It was threatening to give back most of its 2014-2015 rally.