The U.S. dollar closed slightly lower on Monday while the Euro FX closed higher. U.S. equity indices were again higher. Gold continued its price recovery begun two weeks ago. Crude oil was also higher in a move that started about ten days ago.
Over the last six weeks the U.S. dollar has declined by about 350 points; over the same period the Euro FX has gained about 550 points. Today Angela Merkel, Germany’s leader, said that she thought the euro was too weak. This counterintuitive statement flies in the face of normal economic thinking that exporting countries (Germany in one of the major exporting countries of the world) wish to have a weak currency to make their exports easier to sell to foreign buyers. Only time will tell what the effect the Merkel statement will do to the value of the Euro FX.