If US dollar retreats, this is your best play

Dollars cash

The U.S. dollar is retreating from a multiyear bull market in 2016 as expectations for a Federal Reserve rate increase get pushed further and further out. Fed Chair Janet Yellen commented to Congress on Wednesday about the economic problems associated with the greenback moving higher too quickly.

If the dollar continues to pull back, some asset classes could be ready to take off, if history is any guide.

Since reaching a multiyear high in early December, the U.S. Dollar Index, a measure of the greenback’s strength against a basket of foreign currencies, is down nearly 5 percent.

Using data from Kensho, a tool designed to quantify historical market events, CNBC Pro ran a study to find the areas of the market that tend to perform best during times of a dollar weakening cycle.

[“source -pcworld”]