Making Sense of the U.S. Dollar Decreasing

Adam Pukalo |

The U.S. dollar is at a 15-month low.

What does this mean for the stock and commodity markets?
 
I have some good news for you. 
 
Investors in the stock market typically want to see the U.S. dollar decreasing.  
 
The reason is because most U.S. companies have sales abroad, which means these earnings will increase as the U.S. dollar decreases.

I’ve been talking with clients on how July could be a strong month for the markets.

The U.S. dollar decreasing is just another tailwind to support this.  

As for commodities, the U.S. dollar decreasing could be seen as a positive factor too because it is cheaper for other countries to buy their grain. 

However, this is the time of year where acres and weather are more of a bigger factor.

For example, USDA and Stats Can reports are often market movers. 

Bottom line, I watch all different factors like the U.S. dollar for my clients.

The stock and commodity markets are all connected, and I help make sense of them for clients.