Dollar drops against basket of currencies after Donald Trump brushed off concerns over slide
The US dollar has fallen to its lowest level in four years after Donald Trump brushed off concerns over the currency’s fall, sending investors fleeing to traditional havens including gold and the Swiss franc.
The dollar dropped by 1.3% against a basket of currencies after the president’s comments on Tuesday, marking its fourth day of declines, then slipped by a further 0.2% on Wednesday morning.
“No, I think it’s great,” Trump said of the weaker dollar, during a visit to Iowa to promote his record on the economy. Asked whether he was concerned about the currency’s slide, he told reporters: “I think the value of the dollar – look at the business we’re doing. The dollar’s doing great.”
The greenback has tumbled by 10% over the past year, while Tuesday’s fall was the largest one-day drop since last April, when Trump announced his sweeping tariff plans, marking a global market sell-off.
Gold has reached the highest valuation in decades. It’s a sign people are moving away from the dollar as a store of wealth. The US hegemony is failing and China is picking up the slack. I hope the middle powers can unite as a single economic block and bring some stability. Trump is in his Nero phase.
Honestly at this rate gold looks to be more in a bubble or unstable climb then anything.
The moment shit hits the fan the people start to unload in droves gold is goanna get fucked.
It’s far too many eggs in one basket.
Likely as not, yes it’ll be a bubble, once they move to a different currency than the dollar they’ll sell off gold to purchase it.
I’m not an economist and macroeconomics make my eyes gloss over, but I’m sure seeing a lot of economists saying the dollar has less than a year left of being the world reserve currency. This seems like a bad idea… for us…but again I am no economist.
Can’t wait to see how the fiscal conservatives spin this one.
They’ve never been fiscally responsible, it’s only ever been spin and messaging. So you’ll likely see all the same hallmarks they have referenced in the past.
https://manhattan.institute/article/are-republicans-hypocrites-on-deficits-yes-but-there-is-more-to-the-story
Note that the above article is from a right wing think tank arguing in bad faith and expresses the modern take on fiscal responsibility.
It basically boils down to:
Socialized losses, socialized costs and expenses, private profits. They are fucking communists really. It’s fun to say too.
Yikes, ok I can’t say im surprised, but where did you hear that?
The day trump got elected I wanted to invest in gold. Was going through divorce stuff and finances have been in a wild state since so never got to it. I don’t have regrets on it but could have been nice if I was able to dump a chunk in when I wanted to