Weak Dollar Means Stronger Home Market For USA Goods

Global Markets A Sea Of Red As Dollar Selloff Resumes | Zero Hedge: All export markets targeted the USA for the last decade as ‘free trade’ liberals opened the barn doors. US jobs migrated away from our country and into other countries with cheaper labor. Now, that is reversing. This is causing panic across the planet. The old way of doing things is ending and ‘protectionism’ is rising. All systems go through these ‘revolutions’ because you can’t do anything, forever. Things have to balance out eventually or crash and burn.

 

The euro advanced alongside the yen, and the pound erased a drop. The yen advanced against all of its Group-of-10 peers as a stock selloff prompts risk aversion. Tokyo-based funds are selling the Aussie against the yen ahead of Trump’s speech Tuesday night, according to a trader who spoke to Bloomberg. “After last week’s large moves, currency markets are wary of this week’s upcoming events but also of the implications for higher yields,” said Mansoor Mohi-uddin, head of currency strategy at NatWest Markets in Singapore. “The focus in G-10 currencies is whether higher yields cause stocks to weaken, thus supporting safe haven currencies.”

 

There is plenty of ‘froth’ in markets. The bitcoin mania being a huge clue as to many people having money to waste on silly things. All surging markets attract scams and this is one epic scam from hell. The struggle to get the fake money scam shooting to the moon is a sign that childish schemes to loot people are beginning to not operate at prime speed.

 

I have pointed out for years and years and years that the ‘strong dollar’ was how our ‘trade partners’ systematically undercut our domestic industries.  It is an invasion tactic.  It bombed out Detroit, it destroyed Cleveland, it left the Midwest in ruins.  It literally turned former great manufacturing cities into smoking ruins, as bad as any war.

 

Stopping this is a monumental task and Trump has applied as much pressure as humanly possible to reverse this.  About time, too.  The super rich also park all their loot overseas, too.  They manufacture overseas, collect the profits and then export this, too.

 

They are traitors, open traitors.  We get cheap goodies but pay a very steep collective price.  The news about the dollar being ‘weak’ against say, the yen or yuan is great news for US businesses competing with imports.

4 Comments

Filed under .money matters

4 responses to “Weak Dollar Means Stronger Home Market For USA Goods

  1. Petruchio

    “The super rich also park all their loot overseas, too.” That’s one of the things that really annoys me about Republicans. They complain and complain and complain about TAXES. They give their Corporate owners all these tax breaks so they don’t have to pay ANY taxes and yet they have the nerve to complain. Every year, Republicans of the Political Who#e Class go on TV claiming we have to help the “job creators” with tax breaks. Trump’s tax plan is the latest example. And of course the Dems aren’t any better. They both compete for favor to the same Interest Groups.

  2. Mewswithaview

    The tax changes appear to have created problem for companies who took on to much debt and now can’t write off as much on interest repayments. Watch what happens with Silverlake & Dell EMC who have taken on too much debt.

    A strong dollar also increases the real cost of servicing debt for people in countries who borrowed all those cheap dollars (much more effort is required to service the debt) . This is partly what happened to Greece when they joined the Euro and effectively tied themselves to the German Deutchemark so the real cost of servicing the debt jumped massively.

  3. The dollar is getting WEAKER. Not stronger.

  4. Lou

    3–Because the (((Fed))) prints so many of them.

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