Guess What Is On The Move?

This morning the major stock market indexes are all under pressure ahead of the opening bell. Problems have once again emerged out of Europe and many investors are really wondering if these countries are really out of the woods. As you all know by now when the European Union faces headwinds the U.S. Dollar Index will usually catch a bid higher. That is certainly the case this morning as the U.S. Dollar Index is trading higher by 0.51 cents to $82.56. When the dollar rallies the major stock market indexes will often deflate and decline. Usually, the commodity stocks will decline first and that can be seen this morning ahead of the opening bell. Freeport McMoRan Copper & Gold Inc.FCX is trading lower this morning by 0.80 cents to $77.70 a share as the dollar trades higher. United States Steel Corp.X is another leading commodity stock that is pulling back ahead of the opening bell trading lower by 0.40 cents to $45.59 a share. The United States Oil Fund is also under pressure ahead of the opening bell trading down 0.42 cents to $32.70. Simply put when the U.S. Dollar Index rallies higher the major stock indexes will usually deflate and trade lower. The opposite is true when the U.S. Dollar Index declines the major stock indexes will inflate and trade higher. Until this inverse relationship with the U.S. Dollar and the stock market unwinds and decouples the dollar is still the centerpiece to every major market move. Now we shall see if the dollar can hold it's early gains after the bell rings at the New York Stock Exchange. Nicholas Santiago Chief Market Strategist www.InTheMoneyStocks.com