Good day forex traders.
Welcome to another review of the US Dollar Index and US debt.
We last visited on Mar 12 and back then the American economy was faring better compared to the Euro Zone due to the complications of the various Euro Zone nations budget deficits.
Looking at the US Dollar index chart above, we note that the US dollar generally became stronger since March 2012. This is once again due to the Euro Zone budget deficit crisis. Facing further complications involving the likes of Greece, Italy and Spain, the US economy seemed better poised for growth compared to the Euro Zone. From a technical point of view, do you see a vague head and shoulders pattern?
As of 9 March 2012, the total public debt is 15,517,051,724,148.90
As of 15 August 2012, the total public debt is 15,944,869,685,894.92
Source : TreasuryDirect
Comparing to the last review, the US debt increased. Long time readers will know that i am not optimistic on the debt situation of the US. This debt is like wood waiting for a spark to ignite. Should the Euro Zone shape up and solve the complications, the massive US debt may become a spotlight and face extreme scrutiny.