The Most Important Chart in the World is in Serious Trouble
By: Graham Summers
GoldSeek.com
Thursday, 25 January 2018
Love it, or hate it, the $USD is the reserve currency of the world. So what happens to it is of MASSIVE import to the rest of the financial system.
This is looking more and more like a “false breakout.” False breakouts are dangerous developments because they usually lead to violent drops.
In this case, the above chart suggests the $USD could collapse to the high ‘70s in the coming months.
This is a MAJOR warning. A $USD collapse like that would unleash a MAJOR inflationary shock on the system.
And that’s when we reach the End Game for Central Banks.
Why?
As I outline in my bestselling book, The Everything Bubble: The Endgame For Central Bank Policy, bonds trade based on inflation.
If inflation rises, so do bond yields.
When bond yields Rise, bond prices FALL.
And when bond prices FALL, the massive debt bubble begins to burst.
On that note, the yield on the most important bond in the world: the 10-Year Treasury, has already broken above its 20-year trendline.
The Rest…HERE
