- cross-posted to:
- economy@lemmy.world
- cross-posted to:
- economy@lemmy.world
cross-posted from: https://lemmy.ca/post/45956989
The dollar has sunk to its lowest in three years as rapidly changing U.S. trade policy unsettles markets and expectations build for Federal Reserve rate cuts, fuelling outflows from the world’s biggest economy.
With the dollar down almost 10% against a basket of major currencies this year
You must log in or # to comment.
This is the goal of a fascist leader. Tank the economy, do the scapegoating all while saying how they’re the only one who can fix it.
Most of the “recovery” seen in the stock market over the past 1.5 months was just devaluation of the dollar.
The graph comparison in the article can be a bit misleading, because it shows Euro has increased 11.5% while USD has dropped 9.47% compared to an unspecified zero.
That would indicate that USD should have dropped 21% against the Euro, but the true number is 10.5%That is still huge for such a short time.
Also worth noting, such a drop should have allowed decreasing interest rates significantly, but inflation has prevented that. This would normally stimulate the economy, but instead USA is entering a recession!You would have to be a very skilled economist to destroy an economy this much in such a short time on purpose.
But Trump is managing it by being a moron.You would have to be a very skilled economist to destroy an economy this much in such a short time on purpose
This definitely did not happen over the course of 6mo, nor did it take advanced levels of ineptitude. This didn’t even happen over the course of the last 8 years. We’ve been kicking this can down the road since at least 9/11, and the trickle down mentality that started the ball rolling took hold 25 years before that.
Someone willing to grab the helm could have mitigated a lot of the damage by making a lot of unpopular budget cuts, particularly to the military, and hiking up taxes on the wealthy, but that’s not why he’s here.
Now we’re running an experiment to see how high debt-to-gdp can get for the country with the reserve currency. If we were any other country, we would have already imploded.
This definitely did not happen over the course of 6mo,
It absolutely did, the economy was doing fine and clearly recovering after Covid under Biden.
Trump has managed to make the USD plummet, increase inflation again and drag USA into a recession, and make USA lose it’s last AAA credit rating with a bill giving trillions of dollars in tax relief for the most wealthy.How you can fail to see the HUGE difference fromt the recovering economy under Biden, and how it’s now failing on ALL parameters is very weird.
That is an absolutely wild claim to make.
I need to go to bed, but if you’re actually interested in educating yourself, I recommend looking up our interest payments on national debt over time, when social security began running a deficit, debt-to-gdp over time, and the long term impacts of the 2008 financial crisis bailouts.
But if you’re just here for the circle jerk, then sure, make whatever baseless claims you want. Later.
Edit: this is actually a pretty good summary I watched recently
when social security began running a deficit,
That comment is outright insane.
You appear to choose delusions that supports your opinions over facts that don’t.
Denmark has some of the highest social security programs, and have some of the best financials and economies in the world.Mk, you’re not interested, that’s what I thought. Cheers.
The fact that the debt has gone up for many decades now is not in question.
But your resoning for it is completely disconnected from reality.
In practical terms, I threw a couple paychecks of USD into EUR when it was $1.11=€1 as a test case for if the Mar a Lago Accord ends up really happening. So late Jan, and ready to move more in 24ish hours if I these fools do more of what they do best. I made like $75 today alone just on the mid-market rate arbitrage.
Y’all, were cooked, but I’ll bring beers to the cookout.
I’ll bring the burgers and chips
My only regret is not buying more Euros at $1.11/€1
Same lol
Wonder how long the US economy can survive without being proped up by other countries using USD as reserve currency. Id imagine if we measured foreign dollars as if they were an export unto themselves, it’d be a sizeable share of our total exports.
Wonder how long the US economy can survive without being proped up by other countries using USD as reserve currency.
As soon as USD no longer becomes international reserve, the US debt becomes unserviceable because countries that hold and buy US debt will no longer want debt in a relatively worthless actively devaluing currency. That will trigger complete and total economic collapse in just a few short months as the fed replaces debt with money printing and the USD becomes wallpaper.
I’m six weeks from moving to another country I just need USD to keep afloat a little longer. Going to get a bank at my new country and convert currency as fast as I can
