Snart over og ut for US dollar?

Rect Angel
DOLLAR 16.06.2020 kl 11:43 936

Det tror iallfall Stephen Roach. Egentlig bare en naturlig utvikling og som seg hør og bør? Dagens USA er jo ensbetydende med forfall på alle plan. Heller ingen leder for den vestlige sfære lenger. Tvert imot. Alle imperier har sin tid.


Key Words

‘The dollar is going to fall very, very sharply,’ warns prominent Yale economist

Published: June 16, 2020 at 5:11 a.m. ET
By Mark DeCambre

Stephen Roach, Yale University senior fellow and former Morgan Stanley Asia chairman, has a warning for U.S. dollar bulls. The prominent economist says that the era of the U.S. buck may be coming to an end and is forecasting a 35% decline soon in the U.S. currency against its major rivals, citing increases in the nation’s deficit and dwindling savings.

The lecturer said during CNBC’s “Trading Nation” on Monday that the rise of China and the decoupling of the U.S. from its trade partners is setting the stage for a dramatic weakening of the U.S. currency in the next few years that is likely to end the supremacy of the monetary unit as the world’s reserve currency.

“The dollar is going to fall very, very sharply,” he told the business network.

Roach’s comments follow similarly themed op-ed that he wrote in Bloomberg last week, in which he specifically declared that the “era of the U.S. dollar’s ‘exorbitant privilege’ as the world’s primary reserve currency is coming to an end.

In that article, the economist said that the U.S. economy is already “stressed” by the impact of the COVID-19 pandemic, and suggested that the recession that has gripped the U.S. in February amid the public health crisis will only amplify the dollar’s woes.

The finance expert said that the rest of the “world is having serious doubts about the once widely accepted presumption of American exceptionalism.”


On Monday, Roach said that the U.S.’s fiscal deficit, as the government expends trillions of dollars, in an effort to mitigate the harm from COVID-19, may only make matters worse for bucks.

Meanwhile, Roach says that China’s currency, the yuan US:USDCNY US:USDCNH, may garner increasing appeal from investors, as Beijing goes through a phase of structural reforms that could shift the country’s manufacturing-heavy economy to one focused more on services and one with greater consumer-led growth.

Roach makes the case that although a weaker dollar, sometimes favored by President Donald Trump, would benefit U.S. exports in the short term, it would prove more problematic over the longer term.

One measure of the buck, the ICE U.S. Dollar Index US:DXY, has been weakening over the past 30 days, down 3.9% but is up slightly on the year, rising 0.1%, according to FactSet data.

The index measures the buck against a basket of six rival currencies, including the euro US:EURUSD, the pound US:GBPUSD and the yen US:USDJPY.

A weaker dollar has implications for assets and the stock market, including the Dow Jones Industrial Average US:DJIA and S&P 500 index US:SPX, with most debts denominated in dollars. In addition, a majority of cross-border financing and international trade are conducted in dollars.

Worries about the global economy have traditionally encouraged buying of dollars along with other havens because of the perception of the U.S. as a stable economy and currency.

Roach, however, says that growing deficits will eventually change that perception and deliver a gut punch to the greenback

https://www.marketwatch.com/story/the-dollar-is-going-to-fall-very-very-sharply-warns-prominent-yale-economist-2020-06-16?siteid=bigcharts&dist=bigcharts
Redigert 19.01.2021 kl 21:03 Du må logge inn for å svare
Rect Angel
16.06.2020 kl 12:02 910

Er drømmen om å "konstruere" et risikofritt aksjemarked den sikreste veien til den ultimate katastrofen?


The FED is Driving the Markets but Who is Driving the FED?

FED Chair Powell takes the hot seat, delivering testimony to lawmakers later today. Will there be a question over independence from the adminstration?
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Throughout the U.S President’s 1st term, we have heard countless references to the performance of the equity markets. This may even prove to be Trump’s legacy, assuming that there is not a meltdown before November.

Now that the FED has made its bed, it is going to need to lay in it. Does that mean that investors can just jump in with the knowledge that the FED is there to cushion any blow?

https://www.fxempire.com/news/article/the-fed-is-driving-the-markets-but-who-is-driving-the-fed-655555
Redigert 16.06.2020 kl 12:16 Du må logge inn for å svare
Kvisla
21.01.2025 kl 22:46 358

Utrolig at USA for lov til å pumpe opp og trykke dollar uten at de blir straffet. Nå er gjelden så stor at renter raserer all annen utvikling i USA.
Få nedgradert denne valutaen snarest. Faen dette irriterer meg. Enhver annen lånetager ville fått store nedgraderinger!!!!!!!!!!!!!!!!!!!!!

Kan da ikke være lenge til TRUMP får trøbbel her og så vil han få allskyld for alle idiot presidenter som har sittet FØR han og lånt og lånt.......

https://www.usdebtclock.org/
Redigert 21.01.2025 kl 22:50 Du må logge inn for å svare
Candelstick
21.01.2025 kl 23:02 300

Ben Bernanke sa det best ;Problemet til dollaren er at det er for lite av den.