US Dollar A Safe Haven For Investors During Eurozone Crisis

The US dollar has surged in the past month as investors look to the currency for protection from troubles brewing in the Eurozone. While David Cameron defended British interests by rejecting demands for treaty change across the EU as part of a rescue plan for a single currency, sterling fell against the euro as a slide in UK inflation increased the chances that the Bank of England will ease monetary policy further.

Elsewhere, French President Nicolas Sarkozy believes the euro debt crisis could bring all of Europe to its knees. In his speech reflecting on the contagion which spread from Greece, through bailed-out Ireland and Portugal before hitting Spain and Italy, he asked: “What kind of Europe will we have left if the euro disappears, if Europe’s economic heart collapses?”

Still the largest and most powerful economy in the world

With all this economic ‘doomsday’ insecurity, it is no surprise investors are looking to the rising dollar for security. Paresh Davdra, sales director at Rational FX, tells us the dollar is set to continue its strong performance throughout 2012, set against a sliding euro and a more resilient pound.

In an interview with Citywire, he tells us: “The dollar has been mooted as a safe haven currency for 2012. Every time a solution is suggested for the Eurozone, the decision time is delayed and this strengthens the dollar further. Of all the economies and no matter how badly the US economy is doing, ultimately it is still the largest and most powerful economy in the world.”

A good time to invest and a good investment decision

He continues: “If you are an investor and you are placing your funds somewhere, you want to put them where they will be safe. Right now is a good time to invest [in the dollar], as at this moment, there is a lot of instability in Europe and it is clear that there is more bad news to come. If you take a longer term view [in US investment], you are likely to have made a good investment decision.”

Paresh also believes that gold will remain a safe haven, with the gold of cost expected to increase along with the cost of oil/fuel.

What does this mean for you?

So what does this mean for you? It means there has never been a better time to invest in US property! And now, with our Dakota ‘oil boom’ opportunity (where you can invest in much-needed workers’ accommodation in the Bakken Formation area for a circa 50% per year yield), you can get the best of all worlds!

The dollar is strong and rising, meaning security in your investment.
The cost of oil looks set to rise, further strengthening the Bakken opportunity.
Property is one of the safest investments you can make!

Next steps for success

Download the Dakota Investment Guide.
Read the Dakota news story.
Watch the Dakota video.
Listen to a recording of our Dakota webinar.
See our other currently-available USA property investments.
Contact your dedicated USA portfolio manager, Russell Bonner, on +44(0)1273 447 300 or russell@axiscontact.com for a no obligation chat about how to boost your portfolio with US investments today.

Live with abundance,