Dollar seen as risky currency status alert

[Dan O]

On 4/18/2025 at 2:22 PM, Harrisfan said:

Err all fiat has been depreciating for a 100 years.

Try again and post something relevant, like trump's decisions are a burden on maintaining the dollar's value and creating havoc in the world markets. Gotta love all that winning!

[Lacessit]

On 4/18/2025 at 2:23 PM, BritManToo said:

More nonsense,

Everything is priced in USD, therefore the USD is required for international trade.

And probably the most stable currency in the world.

IMO the Swiss franc is probably the best refuge.

 

China and India are paying for Russian oil in yuan and rupees. Straws in the wind.

[Presnock]

4 hours ago, Dan O said:

Perhaps if you put the blame where it originates and stop trying to deflect it to someone or somewhere else you would have more credibility.

 

Trumps actions are the current catalysts for whats going on not the dems or anyone else. No one wants the collapse of the dollar or the economy except Trump and his admin with their slash and burn approach to eliminating their perceived ills of the US without regard to anyone or anything.

 

Placing blame on others for his actions is a pathetic attempt to deflect and gaslight the true problem and its not the dems, the left or any past admin, it Trump and his brain dead minions.

So true!

[Presnock]

3 minutes ago, Lacessit said:

IMO the Swiss franc is probably the best refuge.

 

China and India are paying for Russian oil in yuan and rupees. Straws in the wind.

yeah right, BRICS is laughing all the way right now as Trump is slashing the confidence in the US dollar.  I read that Japan and China are using the yen and yuan for their bills too.  Once the conficence is gone, Japan and China will sell their Us bonds and I wonder who will buy them

[SMIAI]

Cameroni has been on YouTube again and is now faking it, talking about 4D chess and a "new Bretton Woods accord".

No. Bretton Woods is a LOCATION in New Hampshire. Unless they are all going to meet there, it's not going to be a Bretton Woods anything.

The system/agreement only held whilst the US$ was convertible to Gold. A gold standard. The USA(Nixon) dropped that in 1971, so that was the end of that. Followed by the Jamaica Accords.

Is Cameroni suggesting that Trump wants to go back to a gold standard of monetary policy?

I suggest that Cameroni doesn't know the first thing he is writing about. Rather, he saw something on YouTube and is now playing Chinese Whispers.

 

[black tabby12345]

1 hour ago, FlorC said:

Centuries ?? 

Just from the first search :

The dollar was first printed in 1914, a year after the establishment of the Federal Reserve, which became the U.S. central bank with the passing of the Federal Reserve Act. Three decades later, the dollar officially became the world’s reserve currency

 

History is continuous.

One major event(attainment) is based upon the accumulation from the past.

It just doesn't Pop Up all of sudden.

That's why I said "centuries".

 

[sandyf]

On 4/18/2025 at 2:23 PM, BritManToo said:

More nonsense,

Everything is priced in USD, therefore the USD is required for international trade.

And probably the most stable currency in the world.

The USD is not mandatory in bilateral agreements although it can be the currency of choice.

Many Asean countries have bilateral agreements in local currency, as well as countries like Chinal,India, Russia etc.

"Everything is priced in USD," is the nonsense.

[BLMFem]

39 minutes ago, Cameroni said:

 

Trump has singlehandedly reshaped global trade in his image.

Yes, and herein lies the problem.

[Lacessit]

18 minutes ago, Presnock said:

yeah right, BRICS is laughing all the way right now as Trump is slashing the confidence in the US dollar.  I read that Japan and China are using the yen and yuan for their bills too.  Once the conficence is gone, Japan and China will sell their Us bonds and I wonder who will buy them

According to this chart, Treasury bond yields have been rising since 2020. They are 5 basis points above the historical average.

 

Bond yields are an indicator of the trust in the underlying currency, which is why Switzerland and Japan have low yields, and Russia is high.

 

IMO US bonds are drifting into danger territory. Here be dragons.

[Cameroni]

27 minutes ago, Presnock said:

yeah right, BRICS is laughing all the way right now as Trump is slashing the confidence in the US dollar.  I read that Japan and China are using the yen and yuan for their bills too.  Once the conficence is gone, Japan and China will sell their Us bonds and I wonder who will buy them

 

You don't understand economics at all, if China tried to sell off its horde of more than $760 billion in U.S. Treasury bonds, which would drive up interest rates in the U.S., that would also increase the value of yuan, making Chinese exports even more expensive. Again, that’s the opposite of what China wants.

[JensenZ]

4 hours ago, Dan O said:

Perhaps if you put the blame where it originates and stop trying to deflect it to someone or somewhere else you would have more credibility.

 

Trumps actions are the current catalysts for whats going on not the dems or anyone else. No one wants the collapse of the dollar or the economy except Trump and his admin with their slash and burn approach to eliminating their perceived ills of the US without regard to anyone or anything.

 

Placing blame on others for his actions is a pathetic attempt to deflect and gaslight the true problem and its not the dems, the left or any past admin, it Trump and his brain dead minions.

I don't need credibility, I posted a USDX chart which speaks for itself. It shows that the USD is not failing; historically, the current decline is not unusual. This is the main topic of this thread.

 

You're harping on about credibility, but you show none at all, just the typical anti-Trump bs we see on here every day by a disgruntled bunch of losers.

[black tabby12345]

USD has been the key currency for decades.

Because of its wide range of involvements in the world business, not just by the size of its economy.

When US of A cuts ties with the rest of the world, it is just like weakening its influence by itself.

And it is what DT is trying to do now.

[Dan O]

2 minutes ago, JensenZ said:

I don't need credibility, I posted a USDX chart which speaks for itself. It shows that the USD is not failing; historically, the current decline is not unusual. This is the main topic of this thread.

 

You're harping on about credibility, but you show none at all, just the typical anti-Trump bs we see on here every day by a disgruntled bunch of losers.

Your the loser for falling for his bs and then trying to cover with bs that is inaccurate and not part of the discussion. Its good that you don't need credibility as you don't have any with replies like those. 

 

I called you out on it and what did you reply? That I shouldn't invest short term everyone should go longer term like you or be a loser just because we're dems. Im not a dem to start with and I never raised investing but you had no answer so you deflected. Moronic at best when you have no answers. Nice try at gaslighting.

[sandyf]

1 hour ago, FlorC said:

Centuries ?? 

Just from the first search :

The dollar was first printed in 1914, a year after the establishment of the Federal Reserve, which became the U.S. central bank with the passing of the Federal Reserve Act. Three decades later, the dollar officially became the world’s reserve currency

You looked in the wrong place, Sterling was still the reserve currency until into the 70s.

I remember the start of it's demise, in 1967 Harold Wilson devalued the pound to $2.40, making the UK and the US penny at par. In those days there were 240 pennies in a pound.

 

 Although a rapid global switch to the USD was widely predicted after 1945, the end of sterling's reserve role was prolonged until the late 1970s by the structure of the international monetary system and collective global interest in its continuation so that the retirement of sterling as a reserve currency was achieved through negotiated management among the developed and developing world.

https://www.researchgate.net/publication/229048743_The_Retirement_of_Sterling_as_a_Reserve_Currency_after_1945_Lessons_for_the_US_Dollar#:~:text=Although a rapid global switch,a reserve currency was achieved

[CallumWK]

2 hours ago, PuiPuiHarry said:

You believe some doubtful governmental agencies, or the Unlimited Wisdom, the Best Dealmaker in Human History, the Never Lying "grab-them-by-the-pussy" president of the USA ?

 

Of course I believe the one with the very, very large brain.

 

https://www.newsweek.com/trump-china-respects-very-large-brain-1140052

 

During a press conference Wednesday, President Donald Trump said China respects him because of his "very, very large brain.

[placeholder]

22 minutes ago, sandyf said:

You looked in the wrong place, Sterling was still the reserve currency until into the 70s.

I remember the start of it's demise, in 1967 Harold Wilson devalued the pound to $2.40, making the UK and the US penny at par. In those days there were 240 pennies in a pound.

 

 Although a rapid global switch to the USD was widely predicted after 1945, the end of sterling's reserve role was prolonged until the late 1970s by the structure of the international monetary system and collective global interest in its continuation so that the retirement of sterling as a reserve currency was achieved through negotiated management among the developed and developing world.

https://www.researchgate.net/publication/229048743_The_Retirement_of_Sterling_as_a_Reserve_Currency_after_1945_Lessons_for_the_US_Dollar#:~:text=Although a rapid global switch,a reserve currency was achieved

It may still have officially been a reserve currency, but it wasn't the reserve currency. After the war, the UK economy was in no shape to sustain sterling as the reserve currency.

[jas007]

32 minutes ago, sandyf said:

You looked in the wrong place, Sterling was still the reserve currency until into the 70s.

I remember the start of it's demise, in 1967 Harold Wilson devalued the pound to $2.40, making the UK and the US penny at par. In those days there were 240 pennies in a pound.

 

 Although a rapid global switch to the USD was widely predicted after 1945, the end of sterling's reserve role was prolonged until the late 1970s by the structure of the international monetary system and collective global interest in its continuation so that the retirement of sterling as a reserve currency was achieved through negotiated management among the developed and developing world.

https://www.researchgate.net/publication/229048743_The_Retirement_of_Sterling_as_a_Reserve_Currency_after_1945_Lessons_for_the_US_Dollar#:~:text=Although a rapid global switch,a reserve currency was achieved

 The Bretton Woods Conference in 1944 established the US dollar as the world reserve currency. By way of this agreement, the dollar was convertible into gold and was valued at $35 an ounce. By 1971, Nixon closed the gold window as the US gold reserves were being drained, and the era of fiat currency began.  To this day, the dollar has remained the global reserve currency, although there is now movement towards a multipolar world.  

[rough diamond]

42 minutes ago, CallumWK said:

 

Of course I believe the one with the very, very large brain.

 

https://www.newsweek.com/trump-china-respects-very-large-brain-1140052

 

During a press conference Wednesday, President Donald Trump said China respects him because of his "very, very large brain.

You forgot to include a sarcasm alert!

[FlorC]

58 minutes ago, sandyf said:

You looked in the wrong place, Sterling was still the reserve currency until into the 70s.

I remember the start of it's demise, in 1967 Harold Wilson devalued the pound to $2.40, making the UK and the US penny at par. In those days there were 240 pennies in a pound.

 

 Although a rapid global switch to the USD was widely predicted after 1945, the end of sterling's reserve role was prolonged until the late 1970s by the structure of the international monetary system and collective global interest in its continuation so that the retirement of sterling as a reserve currency was achieved through negotiated management among the developed and developing world.

https://www.researchgate.net/publication/229048743_The_Retirement_of_Sterling_as_a_Reserve_Currency_after_1945_Lessons_for_the_US_Dollar#:~:text=Although a rapid global switch,a reserve currency was achieved

You looked in the wrong place. This is about the USD not Sterling.

[Tug]

I don’t know about all the fancy economic theories but as a simple American I see prices rising the value of my currency going down our institutions at risk ALL sielf inflicted by one Donald jhon trump who at the same times betrays American ideals our allies and our constitution.im a simple guy but if it quacks like a duck looks like Donald Duck waddles like a duck well then it most likely is a duck.

[Cameroni]

5 minutes ago, Tug said:

the value of my currency going down our institutions at risk ALL sielf inflicted by one Donald jhon trump

 

Devaluing the dollar is what Trump WANTS. To help US companies increase its exports. Looks like you're not clear on what's happening.

[jas007]

1 minute ago, Cameroni said:

 

Devaluing the dollar is what Trump WANTS. To help US companies increase its exports. Looks like you're not clear on what's happening.

Not only that, but he seems to think that the current inflation in the US is because of Trump and his policies, when the destruction of the dollar's value dates back decades and decades. Today's consumer inflation in the USA is largely the result of huge inflows of cash into the economy during COVID and, following that, that wall of cash meeting shortages of many items because of supply chain constraints.  So, pent up demand, lots of cash, and shortages of just about everything all created the high inflation.  

 

In any event, Trump is now calling for lower interest rates and a lower dollar, both of which would result in even more inflation, but all that is yet to come.  Of course, there  has been some blowback about the tariffs and that has weakened the dollar somewhat, but that's temporary and probably not structural, long term. 

[JensenZ]

1 hour ago, Dan O said:

Your the loser for falling for his bs and then trying to cover with bs that is inaccurate and not part of the discussion. Its good that you don't need credibility as you don't have any with replies like those. 

 

I called you out on it and what did you reply? That I shouldn't invest short term everyone should go longer term like you or be a loser just because we're dems. Im not a dem to start with and I never raised investing but you had no answer so you deflected. Moronic at best when you have no answers. Nice try at gaslighting.

 You've lost the plot. This thread is about the USD and whether it's failing or not. I showed hard facts. You're offering lots of blah, blah. 

[Cameroni]

4 minutes ago, jas007 said:

Not only that, but he seems to think that the current inflation in the US is because of Trump and his policies, when the destruction of the dollar's value dates back decades and decades. Today's consumer inflation in the USA is largely the result of huge inflows of cash into the economy during COVID and, following that, that wall of cash meeting shortages of many items because of supply chain constraints.  So, pent up demand, lots of cash, and shortages of just about everything all created the high inflation.  

 

In any event, Trump is now calling for lower interest rates and a lower dollar, both of which would result in even more inflation, but all that is yet to come.  Of course, there  has been some blowback about the tariffs and that has weakened the dollar somewhat, but that's temporary and probably not structural, long term. 

 

Exactly right. Neither Trump, nor Biden actually, were to blame for inflation. Whilst Covid and Ukraine did have an effect, they too are not the root cause of inflation. The root cause of inflation has been the Fed printing money and the banks making credit easily available, leading to exacerbated consumer spending. This, alas, is the unexciting real cause of inflation. Printing and spending.

 

https://www.gisreportsonline.com/r/inflation-moving-target/

 

As long as the Fed will continue to print and consumers will continue to consume, inflation will continue.

[placeholder]

1 hour ago, Cameroni said:

 

You don't understand economics at all, if China tried to sell off its horde of more than $760 billion in U.S. Treasury bonds, which would drive up interest rates in the U.S., that would also increase the value of yuan, making Chinese exports even more expensive. Again, that’s the opposite of what China wants.

Well, maybe in relation to the dollar. But considering the tariff level of 145%, I think that's not a rational consideration. If they cash out, they could take those funds and invest in various Eurobonds or in Japanese bonds.

[placeholder]

10 minutes ago, Cameroni said:

 

Exactly right. Neither Trump, nor Biden actually, were to blame for inflation. Whilst Covid and Ukraine did have an effect, they too are not the root cause of inflation. The root cause of inflation has been the Fed printing money and the banks making credit easily available, leading to exacerbated consumer spending. This, alas, is the unexciting real cause of inflation. Printing and spending.

 

https://www.gisreportsonline.com/r/inflation-moving-target/

 

As long as the Fed will continue to print and consumers will continue to consume, inflation will continue.

And the reason that inflation was pretty much a worldwide phenomenon is because the Fed was printing money?

[jas007]

8 minutes ago, Cameroni said:

 

Exactly right. Neither Trump, nor Biden actually, were to blame for inflation. Whilst Covid and Ukraine did have an effect, they too are not the root cause of inflation. The root cause of inflation has been the Fed printing money and the banks making credit easily available, leading to exacerbated consumer spending. This, alas, is the unexciting real cause of inflation. Printing and spending.

 

https://www.gisreportsonline.com/r/inflation-moving-target/

 

As long as the Fed will continue to print and consumers will continue to consume, inflation will continue.

Under the current system, that's what has to happen, or the system collapses.  Money is loaned into existence and the expectation is that the bonds will pay interest, and that interest can come from only one place: more borrowing, more money printing. And then there's the issue of the world reserve currency.  The US can't maintain the dollar as the world reserve currency without accepting more and more debt, and deficit and balance of trade problems.  And so those "problems" are always there.  It's just a matter of degree.  In normal times, new money usually stays in the banking system and may be used for banks to bolster their reserves..  Credit markets also create money, but usually, there's some mechanism at work to limit that from becoming excessive. 

 

In short, it was a system designed to destroy the currency and transfer wealth to the banks,, a scam that has been ongoing since 1913, when the Fed was created.

[RayC]

1 hour ago, Cameroni said:

 

Devaluing the dollar is what Trump WANTS. To help US companies increase its exports.

 

That may be the case but it ignores the demand side of things. The US's major exports are Aircraft parts (gliders, balloons, and powered aircraft) ($10.8B), Refined Petroleum ($9.27B), Crude Petroleum ($9.26B), Petroleum Gas ($7.14B), and Commodities not elsewhere specified ($5.04B). 

 

I would have thought that the demand for Aircraft parts was relatively inelastic? If so, devaluing the dollar might result in a reduction in revenue in dollar terms. The demand for petrol and gas is related to economic activity which will suffer as a result of Trump's existing measures. In addition, the reaction of OPEC needs to be considered.

 

Moreover, Europe and others are not about to increase their imports of US agricultural produce unless the US meets the required sanitary and phytosanitary standards.

 

So in summary, it is quite conceivable that Trump will be successful in devaluing the dollar. It is a lot more debatable that his actions will increase US exporters' revenue or have any wider benefit.

[placeholder]

1 hour ago, jas007 said:

Under the current system, that's what has to happen, or the system collapses.  Money is loaned into existence and the expectation is that the bonds will pay interest, and that interest can come from only one place: more borrowing, more money printing. And then there's the issue of the world reserve currency.  The US can't maintain the dollar as the world reserve currency without accepting more and more debt, and deficit and balance of trade problems.  And so those "problems" are always there.  It's just a matter of degree.  In normal times, new money usually stays in the banking system and may be used for banks to bolster their reserves..  Credit markets also create money, but usually, there's some mechanism at work to limit that from becoming excessive. 

 

In short, it was a system designed to destroy the currency and transfer wealth to the banks,, a scam that has been ongoing since 1913, when the Fed was created.

And that's why the world economy has shrunk to a pittance of what it once was that the average American, for one, now gets around on a horse and buggy.

[Cameroni]

1 hour ago, placeholder said:

And the reason that inflation was pretty much a worldwide phenomenon is because the Fed was printing money?

 

Exactly right, because many central banks followed the US lead in printing money and making cheap loans available.

 

Japan didn't, and had much lower inflation. What a shock.