The Dollar is BACK (Black Swan Capital)

"There's gold in them there hills ..." said Mr. Hedge Fund Manager. Grab it and run!!!

This won't be your usual Monday morning quarterbacking on gold (as we will likely see on CNBC this morning; which I won't be watching).  But, I do want to share a couple of charts (one I shared several months back on these pages) that suggest this selloff is part and parcel to the need for liquidity and an indication the currency everyone loves to hate has probably put in a multi-year bottom-the world reserve currency, Mr. Greenback. (I use the term "world reserve currency" because dollar haters seem to hate that reality.  J) Let's start with a chart we shared before: Gold/Silver Ratio vs. Dow Jones Industrial Average Weekly.  Now, this isn't a gigantic sample size I grant you, but I think it does carry some logic (maybe fabricated to fit this story, but seems logical to me at first blush).  There is a tendency for the Gold/Silver ratio and DJIA to confirm troughs and peaks... Currency Currents 26 September 2011