I have analyzed (refer below table) the long term correlation of Dollar Index against S&P 500 and Dollar Index against Oil; both of which are inversely related to each other i.e. if one rises other will fall and vice versa.
If you look at Dollar Index, it appears over sold after Fed's QE I and II. Pundits and the so called experts feel that the currency might ease further correction before reversing its course. This means that stocks (S&P 500) will rise for a while. Fur sure they will, but there is a high probability that the returns achieved by investing now might not produce return that offsets the risk of substantial capital loss.
Happy and Safe Investing!!!
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