Resource markets are flying.
Gold has soared almost $300 an ounce since October, including more than $100 in just the past six weeks.
Crude oil has more than doubled since mid-December, recently breaking above $66 a barrel.
Meanwhile, everything from corn ... to soybeans ... to wheat ... to gasoline is ramping higher.
The common thread: The broad-based Dollar Index has dropped more than
11% just since early March. It's at a 5-month low against the euro, a 6-month low against the British pound and an 8-month low against the Australian dollar. It's falling against every currency from the Brazilian real to the lowly Indonesian Rupiah.The reason: The U.S. Treasury and Federal Reserve have decided to ignore the greenback in an all-out attempt to re-inflate the economy. They do not seem to care if that debases the value of your money, drives up the cost of buying groceries, and makes it more expensive for you to fill your tank. They think inflation is the "lesser of the evils" when compared to deflation.
So they're going hog-wild. They're printing money out of thin air. They're monetizing U.S. sovereign and mortgage debt, to the tune of up to $1.75 TRILLION. They're thumbing their noses at our foreign creditors.