Like the old saying history does not repeat but rhymes. US dollar is a reserve currency so there is demand for it. The losing strength in petrodollar and the reality that US military is feeling the heat from competitions in rising super powers of China and Russia. We are seeing cracks in the US dollar as a reserve currency. In time when the dollar losses its reserve status it will be painfully obvious the print of money has come home to roost. There is no doubt dollar will lose its reserve status, the question is when. Hyperinflation is the real deal. We have to look at alternative assets before we get sucked into the US dollar demise. BTC and altcoins is one way. Hard assets like gold, silver, and land are others. Thanks.
You are viewing a single comment's thread from:
LOL did you even read the article?
What money printing? By whom?
Really? Based upon what? And what is going to replace it?
Posted Using LeoFinance Beta
Not trying to get off on the wrong foot here. Trying to add to what @edicted is writing. I do tend to be off track at times..
Just to respond the reason I said USA will lose its reserved currency is because eventually all super powers come to an end. The petro dollar is no longer the only access to currency. Middle East countries are accepting Yuan for oil is one example. Another example China expanding its oil trade routes in Russia is also solidifying both countries partnership without the need of usd.
USA has been in a trade deficit for many years. This deficit got exacerbated during covid because the Fed indirectly was enabling the federal government to spend trillions of dollars. I am terrible at explaining but think Joe Brown from Heresy Financial explained it very very clear: https://m.youtube.com/watch?v=P-T0w5-BJ8k
The fed and other central banks probably will play a key role in accelerating the process of usd losing its reserve status. Keep interest rates low and continue QE on the premise of supporting government spending is the nail in the coffin for the dollar as a reserve currency. USD not pegged to anything but a promise to be paid back while the real US economy struggles on its debt burden the usd will eventually lose its reserve status.
I don’t think the usd will lose its reserve status for awhile but at the same time trying to prepare for it in case it will happen in my life time. I honestly don’t know what will replace the dollar but feel alternative investments such as crypto, precious metals, and land are crucial to maintaining wealth.