USD MAGA

Discussion in 'Forex' started by JackMorgan, Jul 15, 2022.

  1. upload_2022-7-15_1-26-34.png
     
    swinging tick and blink18 like this.
  2. Tokenz

    Tokenz

    Don't worry, it will come back down. It must come back down or else we will go into a dept death spiral.
     
    earth_imperator likes this.
  3. zdreg

    zdreg

    Why?
     
  4. Tokenz

    Tokenz

    Because the government the fed knows this, and in the past charts when we have came to these levels it has always come back down, or else our economy would litteraly be ruined. That's why they ease up. As you can already see in some places gas and food prices are starting to go back down.
     
    TraderTom1133 likes this.
  5. The only reason the $USD is so strong is that coupons on the Treasuries are going up (and Sovereigns around the world hope they keep going up).
    But we are probably already at "max pain" (for interest expense on the Treasury income statement) beyond which higher rates can't be paid.
    Although the U.S. Government says it is exempt from a lot of rules, it will not be exempt from the rules of Math.

    The old high of 3.48% on June 14 has to hold.
    Otherwise the FED will have to resume QE later this year just to "rollover" that debt.
     
  6. zdreg

    zdreg

    That kind of action will eventually lead to hyperinflation. If you disagree why?
     
  7. In regards to an out-of-control national debt, yes, inflation is definitely the answer.
    But how much inflation is required?
    And can that be administered safely by CBs?
     
  8. Overnight

    Overnight

    There is no national debt. Piezoe says so.
     
  9. Cuddles

    Cuddles

  10. SunTrader

    SunTrader

    You too? I laughed for days @ lewzer tRump in 2020.

    Sleepy Joe beat him like a Fake-Blond headed stepchild.
     
    #10     Jul 16, 2022