As the dollar continues its massive losing streak, the last place you would expect to see it is in the “best” column on any “best/worst” style list. But that’s exactly where it falls on Casey Research’s new report on the economy, “The Good, Bad, and Ugly: Year-End 2009.” Casey Research lists the U.S. dollar under “The Good” column because the dollar is the reserve currency of banks around the world.
This is an interesting thought at a time when gold skyrocketed after a story in Britain’s Independent newspaper said that Arab states, along with China, Russia, Japan and France, have a plan to end dollar dealings for oil.
Gold keeps getting higher due to loose monetary policy in the U.S. and around the world, hitting an all-time high of $1,056.30 per ounce on Oct. 8, and analysts we’ve spoken to expect its uptrend to continue.
Most certainly wouldn’t argue with the “Bad” on Casey Research’s list: high government debt, government takeover of the economy, consumer debt and bank failures. Other “Good” aspects of the U.S. economy, according to Casey Research, are the U.S.’s leading position in agriculture and high regard for American brands like McDonald’s and Coca-Cola.
Tags: Dollar weakness, economy, gold, U.S. dollar
