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romiem / Rohit
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2025-01-22 20:28:43

romiem on Nostr: jack mallers In your podcasts, you refer to the dollar having to go down. Could you ...

jack mallers (nprofile…qp08) In your podcasts, you refer to the dollar having to go down. Could you elaborate on your thought process pls?

The recent strong employment data (higher confidence in US economy), coupled with Trump's tariffs (fewer imports, higher capital inflows) could all strengthen the DXY (attracts foreign investment).

On the other hand, increased government spending (larger fiscal deficits), or if inflation gets out of hand without interest rates rising then that could weaken the dollar. As LynAlden (nprofile…fdg3) would say, "nothing stops this train".

I'm guessing you fall in the second camp? Maybe you could elaborate your thoughts on next weeks episode. Thanks!
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