Announcer:
4 Your Money is brought to you by NelsonCorp Wealth Management.
Brandy Auterson-Hurst:
It’s now time for 4 Your Money. We’re joined by David Nelson, CEO of NelsonCorp Wealth Management. Welcome back, David.
David Nelson:
Thank you. It’s a pleasure to be here.
Brandy Auterson-Hurst:
So the US dollar has been getting a lot of attention lately for its strength. What’s driving the move and how significant is it?
David Nelson:
Well, it’s true that the dollar has been on a pretty strong run the past few months, but as we look at the chart that I brought along today, what we’re seeing here isn’t really that unusual. My data goes back to 2008 and it’s looking at the dollar performance as far as back then and you see a steady climb higher as far as over time. And the yellow line is showing a clear uptrend with higher highs and higher lows. So in other words, we’re moving in the right direction if you’re looking for a strong dollar. Right now, the dollar is actually nearing an all-time high. And a few things that could be causing the recent strength is probably US interest rates are higher, which is basically attracting global investors as far as to look at these higher interest rates. And in addition to that, the global uncertainty that exists out there, it often pushes people to the so-called safe haven, which is the US dollar as far as in that regard. So I think those are the two main variables as far as that come into play.
Brandy Auterson-Hurst:
Okay. So what does this mean for investors?
David Nelson:
Well, I think the big benefit is that it promotes the investment stability that we have in the United States and that centers around a very strong US economy. And I think, again, those variables as far as really help promote as far as individuals as far as coming from abroad and looking to deposit some money as far as the United States, they’re looking for more certainty.
Brandy Auterson-Hurst:
All right, David, thanks for taking the time to talk to us today.
David Nelson:
Thank you very much.
Brandy Auterson-Hurst:
If you missed any of our discussion, we’ll make it available for you on ourquadcities.com.
Investing involves risk. Depending on the types of investments, there may be varying degrees of risk. Investors should be prepared to bear loss, including total loss of principal.
Indices mentioned are unmanaged and cannot be invested into directly.
This video includes a paid appearance.