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The Dollar's Funeral Keeps Getting Rescheduled

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⚡ Quantum Brief
The S&P 500 stabilized between 7,080–7,140 last week after its sharpest rally since May 2025, signaling a consolidation phase following recent gains. Analysts had anticipated either a price pullback or sideways trading. Q1 earnings reports from 86 S&P 500 firms show 26.1% year-over-year profit growth and 10.3% revenue increases, outperforming expectations amid persistent economic resilience. Foreign demand for U.S. securities surged, with net purchases of $101 billion in February—down from November’s $222 billion but still robust, reinforcing dollar strength despite diversification efforts by central banks. Central banks’ shifts toward gold, euros, and yuan haven’t significantly reduced daily dollar demand, suggesting structural U.S. currency dominance persists despite geopolitical and economic diversification trends. Markets appear rebalanced post-rally, with analysts forecasting a return to normal trading conditions after recent volatility, though risks from earnings momentum and global capital flows remain key watchpoints.
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The Dollar's Funeral Keeps Getting Rescheduled

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Lance Roberts34.15K FollowersFollow5ShareSavePlay(27min)Comment(1)Follow us on Google for the latest stock newsFollow Seeking Alpha on Google for the latest stock newsSummaryThe S&P 500 churned between roughly 7,080 and 7,140 for most of the week.With 86 S&P 500 companies reporting, Q1 earnings are running 26.1% above year-ago levels, with revenue growth of 10.3%.According to the latest Treasury International Capital data, foreigners purchased a net $101 billion of long-term U.S. securities in February, following November’s blockbuster $222 billion print.Central banks can diversify into gold, euros, and yuan without meaningfully changing day-to-day dollar demand.With the market now rebalanced, we should see markets return to a more normal trading environment. DKosig/iStock via Getty Images Market Brief – Market Consolidates Recent Gains Last week, we noted that after the sharpest rally since May 2025, a correction was likely. Notably, those corrections come in two forms: a price pullback or a sideways consolidation. We gotThis article was written byLance Roberts34.15K FollowersFollowAfter having been in the investing world for more than 25 years from private banking and investment management to private and venture capital; I have pretty much "been there and done that" at one point or another. I am currently a partner at RIA Advisors in Houston, Texas. The majority of my time is spent analyzing, researching and writing commentary about investing, investor psychology and macro-views of the markets and the economy. My thoughts are not generally mainstream and are often contrarian in nature but I try an use a common sense approach, clear explanations and my “real world” experience in the process. I am a managing partner of RIA Pro, a weekly subscriber based-newsletter that is distributed to individual and professional investors nationwide. The newsletter covers economic, political and market topics as they relate to your money and life. I also write a daily blog which is read by thousands nationwide from individuals to professionals at www.realinvestmentadvice.com.

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Source: Seeking Alpha