CNBC’s Jim Cramer on Monday said that the spiking U.S. dollar could peak soon.
“The strong dollar has become an albatross around the neck of an already beaten-down market, but now the charts, at last, as interpreted by Carley Garner, suggest the dollar could be peaking,” he said.
The value of the U.S. dollar has surged in recent months, driven by the Federal Reserve’s aggressive interest rate raises and the hot U.S. economy. That’s been a headwind to companies that conduct business largely overseas and are therefore subject to an unfavorable exchange rate.
“Everything else — stocks, commodities, bonds — have all swung back this year. As Garner sees it, the greenback is the last holdout, and she doesn’t think it will last,” he said.
To explain Garner’s analysis, Cramer examined the weekly chart of the dollar index going back to 2017.
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