Why Is The Dollar So Strong When The U.S. Government Is Printing Money Like Crazy Right Now

Like a script out of a Rocky movie, the Dollar is still the undisputed heavyweight champion of the world’s currency. After being knocked down by the Yen ad the Rubble some time ago, the Dollar has come back and regained its supremacy. A reversal of fortunes as the tables have turned with Russia’s economic troubles piling up along with the current conditions in Japan and China and the rest of the world under the Covid-19 thumb, have given the Dollar one last championship belt.

When production is more than need, the value of a product decreases as we know, but the Dollar under the safe harbor of the U.S. treasury bills and bonds continues its strong run in the global market as the U.S. shows the way to the other pandemic ravaged country on how to revive the economy. U.S. companies are, in effect, being encouraged to fire employees so those employees can receive extended unemployment benefits (although companies are also being rewarded if they promise to bring those people back afterward.) Then those ex-employees need to find health insurance (or go on to COBRA where they have to shoulder their entire insurance bill, which in many cases their companies were taking care of part of before).

Why Is The Dollar So Strong When The U.S. Government Is Printing Money Like Crazy Right Now.

America has an exorbitant privilege, which means that global business transactions are done in U.S. dollars. One of the key factors that are not being reported is the fact gold reserves have been decreasing here in the United States while Russia, China, and Japan have been accumulating large quantities of Gold Bullion.

All this in hopes of restoring the credibility of their currency and break away from the chokehold over their economic troubles. In reality to the reported news of the strength and resurgence of the Dollar is the fact Asia’s and Europe’s financial difficulties, as well as the power brokers of International Banking for the present moment, have ordained that the Dollar’s reign remains.

Its status as the dominant world currency was cemented by the perception of international investors, our own Federal Reserve, and many major foreign central banks that the U.S. financial markets are a safe haven. That perception has ostensibly driven by a significant portion of U.S. capital inflows, which have surged in the past two decades. The beneficiaries of all this capital flow are, the 1%.

Related Stories

All The Updates Regarding Release Date Of Arthdal Chronicles Season:2. How Will Tanya And Eunseon Meet & How Will They Romance?

The Birthday Chronicles Season 2 is a Korean drama. It will drop one more time on Netflix for its audience across the world. The...

What Is The Release Date of Haikyuu Season 5 And What Are New Updates?

The appreciated Haikyu! , manga made concrete thanks to the hard work of Haruichi Furudate, is undoubtedly one of the most popular sports-related paper...

Dollar Hope Amidst Corona Virus Lockdown

The US dollar value reduces a bit this Friday, providing relief to all the shareholders. The lower curve of the dollar comes amidst the...

Rising Curve of the Dating Sites

Love in the times of a pandemic! The dating apps have seen a remarkable rise in the number of users amidst the lockdown period...

Tension Mounts as Trump Announces Opening Up America Again.

Amidst America becoming the epicenter of Covid-19 Outbreak, Trump announces plans to reopen the state economies in the upcoming months. The POTUS has sent...

Sportsmanship In times Of Corona.

Whether it is football, soccer, basketball, hockey, or cricket, the spirit of sportsmanship never falters in the time of crisis. A remarkable instance of...

Dip in the sales of Amazon

Amazon.com Inc sales have been affected in the recent wake of the pandemic outbreak, reports Feedvisor’s customer sales survey. Under the guidelines to contain...

You might also likeRELATED
Recommended to you

What Is The Release Date of Haikyuu Season 5 And What Are New Updates?

The appreciated Haikyu! , manga made concrete thanks to...

Dollar Hope Amidst Corona Virus Lockdown

The US dollar value reduces a bit this Friday,...