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In a stock market flight to safety you go to the greenback because the USG is the worlds primary reserve currency and is backed up by the power of the American
by 3pt14159 6y ago
In a stock market flight to safety you go to the greenback because the USG is the worlds primary reserve currency and is backed up by the power of the American financial system. I'm not talking about a stock market flight to safety. I'm talking about a hypothetical scenario that I do not think will come to pass: They keep running the printers even after the real economy is breaking down. They won't do it. They will let the stock market retract before they let inflation get over five percent because they know the power that they have keeping the USD as the world's primary reserve currency, even if it means the stock market is going to tank.
That is my argument: The stock market is going to tank and these meme stonks only go up are going to look chilling in retrospect.
- nikanj 6y agoPresently the glorious leader might not accept the stock market retracting, and would happily sacrifice the future of the USD to prop up the market short-term