Commodities Lower as U.S. Dollar Breaks Out (UUP) (FXE) (GLD) (USO)

The U.S. dollar index broke out higher overnight and is trading at 2 year highs nearing 84. The move higher is fueled by a collapse in the EUR/USD, which is also trading at fresh lows below 1.22, currently 1.2178. So far, the euro has found no support and may test lower.

As a result, commodities are getting hit, with gold, silver, and other metals selling off. Crude oil and natural gas are also trading lower. Equities futures are lower as well.

Meanwhile, yields on the U.S. 10-year bonds are below 1.5 percent.

The move higher in the U.S. dollar comes following the release of the FOMC minutes yesterday. Investors were disappointed by the Fed's lack of conviction regarding potential QE3.

PowerShares DB US Dollar Index Bullish (NYSE: UUP) is higher by .26 percent at 23.04 pre-market.

CurrencyShares Euro Trust (NYSE: FXE) is lower by .53 percent at 121.10

SPDR Gold Trust ETF (NYSE: GLD) is lower by .90 percent in pre-market trading.

United States Oil Fund LP ETF (NYSE: USO) is lower by 1.39 percent pre-market

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