This brief initial comment from the Legendary Trader Dennis Gartman. For subscription information for the 5 page plus Daily Gartman Letter L.C. contact – Tel: 757 238 9346 Fax: 757 238 9546 or E-mail:dennis@thegartmanletter.com HERE to subscribe at his website.
THE US DOLLAR IS FIRMER, AND IT IS ALMOST UNIVERSALLY SO, that is, the dollar is stronger relative to almost every other currency in our daily matrix of prices save for the Chinese Renminbi. Now, let us begin by understanding that the dollar is not materially stronger, for the movement over the course of the past twenty four hours are really rather modest by almost any standards. For example, over the course of the past thirty six hours of trading, the EUR/dollar rate has remained within the range of 1.4875 at the EUR’s worst levels and 1.4980 at its best. However, it is the “universality” of the dollar’s strength, modest though it might be, that has our interest as we write. We get the very real sense that the long-awaited material correction in the US dollar is about to begin.
Turning then to gold, firstly we note that as the dollar strengthens gold is of course weakening… but not all that much! Indeed, in foreign currency terms over the course of the past twenty four hours, gold is quite strong, vindicating our position of being long of gold predicated primarily in terms of other currencies other than the US dollar.
Dennis Gartman spoke about his timeless trading strategy at the Super Summitt go HERE for the Speaker Lineup and Sign Up HERE, Much more from some of the worlds best traders including:
Mr. Gartman has been in the markets since August of 1974, upon finishing his graduate work from the North Carolina State University. He was an economist for Cotton, Inc. in the early 1970’s analyzing cotton supply/demand in the US textile industry. From there he went to NCNB in Charlotte, N. Carolina where he traded foreign exchange and money market instruments. In 1977, Mr. Gartman became the Chief Financial Futures Analyst for A.G. Becker & Company in Chicago, Illinois. Mr. Gartman was an independent member of the Chicago Board of Trade until 1985, trading in treasury bond, treasury note and GNMA futures contracts. In 1985, Mr. Gartman moved to Virginia to run the futures brokerage operation for the Virginia National Bank, and in 1987 Mr. Gartman began producing The Gartman Letter on a full time basis and continues to do so to this day.
Mr. Gartman has lectured on capital market creation to central banks and finance ministries around the world, and has taught classes for the Federal Reserve Bank’s School for Bank Examiners on derivatives since the early 1990’s. Mr. Gartman makes speeches on global economic and political concerns around the world.