The Dollar and Commodities Break a Long-Standing Pattern

The Clean Economy: Trump refused to sign the Paris accord and has begun to repeal environmental regulations that were imposed in the Obama administration, but these efforts are not stopping the world, nor the U.S. on a state level (California, among others) from realizing and acting on the ramifications of climate change. When the U.S. finally opened its doors to oil exports it was logical to be bullish on oil and the dollar as nations would need greenbacks to import U.S. oil. But the push to drill served to create an oil and gas glut and pressure prices downward, while OPEC cuts were insufficient. The global drive toward increasing production of renewable energy, as well as more efficient production and consumption of raw materials in general, combined with greater emphasis on recycling all serve to push down commodity prices. Investing in clean energy for the second quarter of 2017 reached $64.8 billion globally, up 21 percent from the first quarter and the highest since the second quarter of 2016.

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