• This is a political forum that is non-biased/non-partisan and treats every person's position on topics equally. This debate forum is not aligned to any political party. In today's politics, many ideas are split between and even within all the political parties. Often we find ourselves agreeing on one platform but some topics break our mold. We are here to discuss them in a civil political debate. If this is your first visit to our political forums, be sure to check out the RULES. Registering for debate politics is necessary before posting. Register today to participate - it's free!

As Trump Sinks Dollar, Once Unthinkable Worry Grips Markets

CaughtInThe

CaughtInThe

DP Veteran
Joined
Aug 4, 2017
Messages
146,383
Reaction score
167,797
Gender
Undisclosed
Political Leaning
Undisclosed
CaughtInThe said:
Hey, good job all you MAGAs who are financial experts. You're really showing the country what a golden age REALLY looks like.



"The US dollar is not rallying as a safe haven during market selloffs, instead sinking against other currencies, which is unusual and telling."



Click to expand...

To think that righties allegedly voted for tRump because of the econo-me. Allegedly.
 
This is another one of those econ 101 consequences MAGAs either do not know or do not care about. But our currency also competes internationally, and when you engage in a multiple-way trade dispute with key trading partners then shun allies at the same time confidence in the US Dollar, not just as a medium of exchange for goods and services but also in reserve status strength and investment sentiment in US debt, all take a hit.

This is unavoidable when on a mythical "Make America Great Again" social media meme level quest logic on the expectation other nations will "respect us." Well, we are seeing that response as anything but that.

Yet the mentality harms everyone from the 2nd income quintile down to the bottom 5th when the value of the US dollar starts to show more cracks than it already did when we lost distinct and exclusive petrodollar status.
 
CaughtInThe said:
Hey, good job all you MAGAs who are financial experts. You're really showing the country what a golden age REALLY looks like.
Click to expand...

we no longer have Maga; this has morphed into 'Dark Maga' that musk envisions and 6000 other Oligarchs behind the scenes pulling the strings.

the 'Golden Age' is the Dark Maga Technate which will be a very different usa than what you know.


CaughtInThe said:
"The US dollar is not rallying as a safe haven during market selloffs, instead sinking against other currencies, which is unusual and telling."
Click to expand...

under Dark Maga, there will no longer be a 'US dollar'.

instead we will have a new way to the financial world which will be CBDC and Block chain technology already in the works. this will be a totally controlled and monitored Economy; eventually spreading World wide using the CBDC/Blockchain system.

the Orange calls himself the 'crypto president' which kinda hints at the CBDC system and it's Blockchain. major corporations have put billions into this technology as Bitcoin was kind of a dry run into this new type of financial transaction system.



CaughtInThe said:
Click to expand...
 
OrphanSlug said:
This is another one of those econ 101 consequences MAGAs either do not know or do not care about. But our currency also competes internationally, and when you engage in a multiple-way trade dispute with key trading partners then shun allies at the same time confidence in the US Dollar, not just as a medium of exchange for goods and services but also in reserve status strength and investment sentiment in US debt, all take a hit.
Click to expand...
Yes. The national debt hasn't really been to much of an issue as, to date, the US dollar has been the gold standard of the world. We could simply print for dollars with minimal consequence. However, once the US dollar has lost that status, our national debt becomes a huge issue as simply printing dollars has consequences.


OrphanSlug said:
This is unavoidable when on a mythical "Make America Great Again" social media meme level quest logic on the expectation other nations will "respect us." Well, we are seeing that response as anything but that.
Click to expand...
Trump was never about making America great. He is about making Trump great. America was pretty great UNTIL Trump took over. Now we have to worry about American survivial, at least as a world economic superpower. Trump can easily take America and the world into depression.

www.forbes.com

Are We Close To A Recession? Here’s How To Tell.

The GDP, the labor market and consumer confidence all offer measures to tell whether the U.S. economy is close to a recession or not, no matter what Wall Street or the White House say.
www.forbes.com www.forbes.com
www.nbcnews.com

Trump’s trade war could spark a recession, Goldman Sachs warns

Economists are increasingly worried that the president may have set in motion a chain of events that can’t be controlled.
www.nbcnews.com www.nbcnews.com
www.rawstory.com

Trump is the first president to 'deliberately engineer a severe depression': economist

Economist Robert Kuttner believes that President Donald Trump will go down as the first president in American history to "deliberately engineer a severe depression."Writing in The American Prospect, Kuttner runs down all the ways that Trump's policies are putting a severe damper on economic...
www.rawstory.com www.rawstory.com


OrphanSlug said:
Yet the mentality harms everyone from the 2nd income quintile down to the bottom 5th when the value of the US dollar starts to show more cracks than it already did when we lost distinct and exclusive petrodollar status.
Click to expand...
 
SenorXm/Sirius said:
Next week might be a blood bath on Wall Street.. Hold on...
Click to expand...

depends on what the 'Plunge Protection Team' decides to do. wall street has been protected for years from wild swings by this type of intervention.

maybe we can do a deeper dive into what this is all about for starts....



The Plunge Protection Team (PPT), officially known as the President's Working Group on Financial Markets, was established by Executive Order 12631 in 1988 following the 1987 Black Monday stock market crash. Its primary purpose is to advise the U.S. president during periods of financial and stock market instability, aiming to maintain market efficiency, integrity, and investor confidence

Composition​

The team is led by the Secretary of the Treasury and includes:
  • The Chair of the Federal Reserve Board of Governors,
  • The Chair of the Securities and Exchange Commission (SEC),
  • The Chair of the Commodity Futures Trading Commission (CFTC)

Role and Activities​

The PPT's official mission is advisory, offering recommendations to manage financial crises. However, there are widespread speculations that it actively intervenes in financial markets, particularly during significant downturns. This intervention might include purchasing stocks or index futures to stabilize prices and reduce volatility

Critics argue that such actions could involve collusion with major banks, raising concerns about transparency and free-market principles

Historical Context and Key Events​

  • Creation: Formed after the 1987 crash to prevent future market collapses
  • Notable Interventions: Speculative accounts suggest PPT involvement during events like the 2008 financial crisis and sharp market declines in December 2018, where aggressive buying reportedly stabilized markets
  • Secrecy: The team's meetings and activities are not publicly disclosed, fueling conspiracy theories about its influence on stock exchanges

While its existence is not secretive, its operations remain opaque, leading to debates about its role in maintaining market stability versus potentially distorting market dynamics. https://www.perplexity.ai/search/plunge-protection-team-stock-e-gJTSo.fGT0mD8CBwjln_fw



well now you know; and yeah it could be an interesting week depending on what the Dark Maga Technate and musk decide to do. they wanna move fast to overcome the Resistance to change which tends to be inherent in the Financial World.

.
 
A couple of weeks back I started a thread called "What happens to the US$." Basically predicting that the US$ would start to lose values based on Trumps policies. I had noticed that the $ was decoupling from global risk and not being looked at as a safe haven currency like it used to be. It was obvious to even a small part time trader like myself. Once that safe haven coupling starts to break, the rest of the reactions to Trumps policies were always going to put pressure on the $.

The trouble for America now is that we are still massively dependent on imports, and will continue to be so for many years even if Trumps attempt to bring back manufacturing achieves anything. The lower $ will of course stroke inflation because of the imports, and hence lower American living standards. In countries with strong export markets, the compensation for a lower currency is improved competitiveness in the global markets, and therefore higher export sales. This supports jobs and brings extra income into the country. The trouble we face now however is that Trump is busy destroying our export markets through his approach to international relations. Instead of say our Soy Bean farmers getting an extra share of the global market via lower prices, that market has been trashed by Trumps policies, retaliatory tariffs etc. and our growers won't benefit at all. All that happens is the cost of anything we import will rise, even before adding the new tariffs.

The latest part of this story is that there is now talk that Trump and co are deliberately trying to reduce the value of the US$. That is the reaction of a typical export orientated economy. The opposite to what the US is, and what the US will probably never be again until our economy is completely trashed and living standards massively reduced. Not a goal I think many Americans share outside the Billionaire class for who it might provide huge opportunities. I get the feeling that Trump feels he can turn the US into a massive global manufacturing hub like we were post WW2. That would make reducing the US$ an important step. The reality though is that American living standards will never allow global competitiveness in any labour intensive manufacturing today where we don't have some natural advantages. All we get instead is higher local prices for inefficiently (in cost) made US manufactured goods protected by tariffs. You aren't going to sell those into global markets when competing with lower cost countries. So all the lower US$ does is harm Americans.

As with many parts of Trumps policies, I think I can maybe understand, and even sometimes agree with, his end vision, but think the way he is trying to achieve it is insane. In this case though, I also think his end vision is fatally flawed. Based on historic memories of a time that we can't get back because we live in a very different world today. Back around Christmas time I took a substantial 'bet' (investment) that the US$ would drop over Trumps term. I wrote on here about that at the time. It seems that so far my thinking was sound, but we are still a long way from where I expect things to go.
 
Revelation said:
depends on what the 'Plunge Protection Team' decides to do. wall street has been protected for years from wild swings by this type of intervention.

maybe we can do a deeper dive into what this is all about for starts....



The Plunge Protection Team (PPT), officially known as the President's Working Group on Financial Markets, was established by Executive Order 12631 in 1988 following the 1987 Black Monday stock market crash. Its primary purpose is to advise the U.S. president during periods of financial and stock market instability, aiming to maintain market efficiency, integrity, and investor confidence

Composition​

The team is led by the Secretary of the Treasury and includes:
  • The Chair of the Federal Reserve Board of Governors,
  • The Chair of the Securities and Exchange Commission (SEC),
  • The Chair of the Commodity Futures Trading Commission (CFTC)

Role and Activities​

The PPT's official mission is advisory, offering recommendations to manage financial crises. However, there are widespread speculations that it actively intervenes in financial markets, particularly during significant downturns. This intervention might include purchasing stocks or index futures to stabilize prices and reduce volatility

Critics argue that such actions could involve collusion with major banks, raising concerns about transparency and free-market principles

Historical Context and Key Events​

  • Creation: Formed after the 1987 crash to prevent future market collapses
  • Notable Interventions: Speculative accounts suggest PPT involvement during events like the 2008 financial crisis and sharp market declines in December 2018, where aggressive buying reportedly stabilized markets
  • Secrecy: The team's meetings and activities are not publicly disclosed, fueling conspiracy theories about its influence on stock exchanges

While its existence is not secretive, its operations remain opaque, leading to debates about its role in maintaining market stability versus potentially distorting market dynamics. https://www.perplexity.ai/search/plunge-protection-team-stock-e-gJTSo.fGT0mD8CBwjln_fw



well now you know; and yeah it could be an interesting week depending on what the Dark Maga Technate and musk decide to do. they wanna move fast to overcome the Resistance to change which tends to be inherent in the Financial World.

.
Click to expand...
Yep.. The dollar is weakening.. The economy is definitely slowing... Might be a perfect storm..

I'm not saying we'll see a crash this week.. But I can see shaving off 1000+ points this week..
 
Why is the burden on the USA to beef up it's manufacturing? Maybe other countries should also be building up it's consumer class and start importing. Look how many people China and India have compared to the USA. The trade deficit along with the budget deficit are both not sustainable. Administrations before had no political will to fix it. And judging by how screwed up the government is you can see why. Both parties benefited by maintaining the status quo and ripping off the American taxpayer. That's why most seasoned politicians are among the 1%. First time in my life we see government heading in the right direction. I just hope Trump and Elon can keep doing what they're doing.
 
dmpi said:
Why is the burden on the USA to beef up it's manufacturing? Maybe other countries should also be building up it's consumer class and start importing. Look how many people China and India have compared to the USA. The trade deficit along
Click to expand...
Trade deficit is not a problem. We could fix it by becoming a poorer nation.
dmpi said:
with the budget deficit are both not sustainable
Click to expand...

Republicans plan to make the budget deficit worse. This has been known even before the election.

dmpi said:
. Administrations before had no political will to fix it.
Click to expand...
At least the Democrat plan was budget deficit neutral.

dmpi said:
And judging by how screwed up the government is you can see why. Both parties benefited by maintaining the status quo and ripping off the American taxpayer. That's why most seasoned politicians are among the 1%. First time in my life we see government heading in the right direction. I just hope Trump and Elon can keep doing what they're doing.
Click to expand...
LOL! They have sure pulled the wool over your eyes.
 
CaughtInThe said:
Hey, good job all you MAGAs who are financial experts. You're really showing the country what a golden age REALLY looks like.



"The US dollar is not rallying as a safe haven during market selloffs, instead sinking against other currencies, which is unusual and telling."



Click to expand...
I'm confused; it's stronger than before Trump was elected?

www.marketwatch.com

DXY | U.S. Dollar Index (DXY) Overview | MarketWatch

DXY | A complete U.S. Dollar Index (DXY) index overview by MarketWatch. View stock market news, stock market data and trading information.
www.marketwatch.com www.marketwatch.com
 
SenorXm/Sirius said:
Yep.. The dollar is weakening.. The economy is definitely slowing... Might be a perfect storm..

I'm not saying we'll see a crash this week.. But I can see shaving off 1000+ points this week..
Click to expand...

hopefully not a real Crash, but i don't put anything past Dark Maga. they WILL get their way, as the power behind the Oligarchy is what runs this country. this IS what they want, basically real Economic Violence to subdue us and the rest of the world into the Technocracy they claim will bring us into a new Golden Era.

i don't carry a Crystal Ball, but understand their End Game and we all should be students of what the Oligarchy is pushing for.

my investments have been surging upwards at a Dramatic Pace because i understand these things; usually when the Market falls, my Portfolio heads for the moon by Double Digits.

if you kinda know the future, it is easy to invest money and watch it grow like weeds; also which i combine my understanding of Prophecy and then collect the profits $$$$$.

but most will just go in Denial and scoff at me, go ahead as i laugh all the way to the bank.

Senor, i don't approve of what is happening, but i will profit from whatever Policy is in place in Dee Cee. lately the profits are getting kinda crazy, my family kind of expects high performance from me as we fatten our accounts.

whether you like what is going on or not; learn to cash in and Profit from whatever the political Oligarchs are hell bent on doing to us. they certainly inside trade on their info.

.
 
dmpi said:
Why is the burden on the USA to beef up it's manufacturing? Maybe other countries should also be building up it's consumer class and start importing. Look how many people China and India have compared to the USA. The trade deficit along with the budget deficit are both not sustainable. Administrations before had no political will to fix it. And judging by how screwed up the government is you can see why. Both parties benefited by maintaining the status quo and ripping off the American taxpayer. That's why most seasoned politicians are among the 1%. First time in my life we see government heading in the right direction. I just hope Trump and Elon can keep doing what they're doing.
Click to expand...
That's a really wordy way to ignore the damage.
 
Revelation said:
hopefully not a real Crash, but i don't put anything past Dark Maga. they WILL get their way, as the power behind the Oligarchy is what runs this country. this IS what they want, basically real Economic Violence to subdue us and the rest of the world into the Technocracy they claim will bring us into a new Golden Era.

i don't carry a Crystal Ball, but understand their End Game and we all should be students of what the Oligarchy is pushing for.

my investments have been surging upwards at a Dramatic Pace because i understand these things; usually when the Market falls, my Portfolio heads for the moon by Double Digits.

if you kinda know the future, it is easy to invest money and watch it grow like weeds; also which i combine my understanding of Prophecy and then collect the profits $$$$$.

but most will just go in Denial and scoff at me, go ahead as i laugh all the way to the bank.

Senor, i don't approve of what is happening, but i will profit from whatever Policy is in place in Dee Cee. lately the profits are getting kinda crazy, my family kind of expects high performance from me as we fatten our accounts.

whether you like what is going on or not; learn to cash in and Profit from whatever the political Oligarchs are hell bent on doing to us. they certainly inside trade on their info.

.
Click to expand...

The thing that will crush the US economy is Trump putting random tarrifs on everyone for seemingly no reason and thus destroying the ability of other countries to see the US as a good trade partner.
Trade needs stability and Trump is the exact opposite of that as you have no idea what he's about to do at any time.

If you want the US to go the same way as North Korea and be completely self sufficient then fine, go ahead but don't then moan that all the jobs done to fulfill exports are gone.
 
Peter said:
If you want the US to go the same way as North Korea and be completely self sufficient then fine, go ahead but don't then moan that all the jobs done to fulfill exports are gone.
Click to expand...
The USA actually derives less of their GDP from imports and exports than North Korea (or any other country on the planet) does.
 
Metric Mouse said:
The USA actually derives less of their GDP from imports and exports than North Korea does.
Click to expand...

Somehow I doubt that.
North Korea does zero business with Europe and the US for example.
 
Metric Mouse said:
The USA actually derives less of their GDP from imports and exports than North Korea (or any other country on the planet) does.
Click to expand...
Peter said:
Somehow I doubt that.
North Korea does zero business with Europe and the US for example.
Click to expand...

NK is mostly a puppet of china, it is not self sufficient at all. basically a picture of how to fail at about everything they do; their Great Leader is all about Western indulgences and decadence but doesn't allow the people anything but the basics if that.
 
SenorXm/Sirius said:
Yep.. The dollar is weakening.. The economy is definitely slowing... Might be a perfect storm..

I'm not saying we'll see a crash this week.. But I can see shaving off 1000+ points this week..
Click to expand...

Usually a weakening currency is offset by the trade goods of that nation becoming more desirable.....

So, I guess not this time. Trump has found all new ways to mess this stuff up.
 
Metric Mouse said:
The USA actually derives less of their GDP from imports and exports than North Korea (or any other country on the planet) does.
Click to expand...

So what? US exports last year 3 trillion 11% of GDP.

Think we wont miss it if it tanks?
 
Variant said:
Usually a weakening currency is offset by the trade goods of that nation becoming more desirable.....

So, I guess not this time. Trump has found all new ways to mess this stuff up.
Click to expand...
👆
 
You must log in or register to reply here.
Back
Top Bottom