Massive dollar rally paused

The timing of things always fascinates me. The dollar was at a major inflection point (74.75ish) when the s&p seemingly comes from no-where on a Monday morning to state that the us debt outlook deteriorated. Typically you would think that this would hit the dollar hard, especially at a time when it’s hanging by a thread.

Thankfully GREECE decides to make more headlines as their debt picture suddenly worsened and stole the currency limelight. In response the euro took a major shot and pushed up the USD.

How all this happens within a few hours of eachother is rather incredible. Personally I think the dollar bounce continues a bit here before resuming it’s downward trend.