The Price Of Gold Compared To The US 'King Dollar' Index

Here is a comparison of the US Dollar DX Index and the price of Gold in US Dollars.

There is a fairly reliable inverse correlation. That means when the dollar moves higher, gold tends to move lower. And vice versa.

This does not have to be the case. It just sometimes works out that way.

The true correlation may very well be considered a positive one to some currency component of the DX index, such as the Euro.

Sometimes both values, gold and the Dollar, move together, especially during periods of risk stress when both gold and cash dollars may act as safe havens.

(Click on image to enlarge)

(Click on image to enlarge)

How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.


Leave a comment to automatically be entered into our contest to win a free Echo Show.