Gold dipped below $970 in late Hong Kong trading on Tuesday, but that was the low for the day, as prices rose sharply to the New York open, then settled into a trading range between $980 and $985, before finishing at $981.10/oz., up $6.50. Overnight, gold is unchanged.

The base metals were mostly in positive territory on Tuesday. Copper fell all through the pre-dawn hours, but once New York opened it was all on the opposite direction, as it finished just off its intraday highs at $2.1137/lb., up just short of 4 cents from Friday.

Jobs Jamboree results…  A double whack for Treasuries…  The loonie is stealth like…  Oil on the rise…  And Now… Today’s Pfennig!

Even with China’s veiled threats to pursue a “new reserve currency” and even with Ben Bernanke dropping cash from helicopters, I still don’t think the dollar is heading much lower. Here’s why…

Think back hard for a few seconds… to the days when the dollar was the most hated asset in the world. In those days, the dollar was joked about, the euro was rapped about, and everyone came to the conclusion that the buck was history.

Many think that inflation will kill the dollar in the year ahead as the government and Federal Reserve create trillions of new dollars out of thin air.

Firm U.S. dollar weighs on sentiment… Slips from 1-week high as oil prices ease…

A few weeks ago in my blog, I wrote about how the dollar was destined to rally. As I expected, the dollar went on to rally two and a half cents (pretty good in the FOREX world). But will the dollar keep its rally going? It’s doubtful.