Currencies trade in a tight range again…U.S. Retail Sales are a clunker! RBA’s Stevens is upbeat! Thoughts on Brazil…And Now… Today’s Pfennig!

Currencies adrift all day yesterday…Data prints begin today with Productivity…Stop to think! Chinese data is impressive…And Now… Today’s Pfennig!

On April 17, I wrote about the massive train wreck coming in commercial real estate. As it turns out, my estimates of the coming devastation – which seemed outlandish to some at the time – have actually turned out to be too conservative. The problem is far worse than anything that’s been reported so far, particularly when it comes to our icon of consumerism: the shopping mall.

Two weeks ago, at a financial conference, a member of the audience asked an all too familiar question, “What’s your view on the U.S. dollar?”

In very early Tuesday morning trading in the Far East [still Monday evening in New York]…gold and silver saw their lows of the day. However, by the time that the Comex was open about 14 hours later, gold was up twelve bucks. But that was its high of the day, as the price was taken down immediately…and by the time that the Comex closed, eight dollars of that gain had been given back. Tuesday was a nothing day, really. The gold charts make it look worse than it really was…as most of gold’s move on Tuesday [and Monday, for that matter] can be chalked up to the gyrations of the US$.

Currencies stop the dollar’s run…BRIC meeting could get ugly for the dollar…RBA meeting notes good for Aussie dollars…Depressing data / forecasts for housing…And Now… Today’s Pfennig!

In the currency market, the dollar soared against the euro. Late Monday, the euro was trading at $1.378 vs. $1.4022 on Friday.

Gold held near flat until the second hour of trading in New York on Monday, then began a long slide that carried it as low as $925 on the Comex, followed by some very modest buying that took it to a close at $928.00/oz., down $10.30. Overnight, gold is pushing higher.

Wherever we’re going, are we there yet? Nope! But we’re getting there. That is, America is sleepwalking its way into poverty. China is performing a kind of financial alchemy. And Australia finds itself subject to American-style problems, but benefitting from China’s Grand Economic Strategy.

India’s political action sent its markets soaring. After lagging global markets on fears of political unrest, the country’s investors finally have enough reasons to buy. The action could be just the beginning.