4 ms·
This seems overblown. If you look at the attached graphic, you'll see that the dollar is back to where it was at the start of October, two weeks after Lehman B
by mellis 17y ago
This seems overblown.
If you look at the attached graphic, you'll see that the dollar is back to where it was at the start of October, two weeks after Lehman Brothers declared bankruptcy and started a panic that drove flocks of investors to U.S. Treasury bonds (whose yields fell almost to 0). This seems less an indication of weakening confidence in the dollar than a sign that the fear of putting money into anything but U.S. Treasuries is abating.
The article cites a couple of people concerned about inflation, but offers little evidence that it poses a danger.
The economy is still vulnerable, but neither inflation nor a weakening dollar should be our biggest worries.
- timr 17y agoYou win the smartest comment in the thread award. It bums me out that some nonsense rant about the gold standard is at +7, while your comment (with opinion echoed by nearly every currency expert I've read) is down here in the weeds. There was a flight to quality following the bank failures. The drop in the dollar is a good sign that the world's economies are starting to find better places to put their money than US currency.