From Investing.com: 2025-02-25 08:15:00

For almost two decades, there have been predictions of a dollar crash, but it has not materialized. Currently, the dollar sits at 106.62, up 47.61% from its 2008 low of 72.23. Many who predict a crash often have ulterior motives, such as selling gold or newsletters. While some attribute inflation to an increase in the money supply, the real issue lies in overlooking credit. The dollar’s value is relative to other currencies, with the Euro accounting for 57.6% of its value. Since 2004, the Euro has risen 763.53% against the dollar, while the dollar has seen a 4,421.93% increase since 1973. The price of gold has risen in every currency over the past decade, highlighting the impact of inflation and purchasing power. Despite high debt levels in countries like the US, Eurozone, and UK, the dollar remains strong due to global uncertainty. However, the looming threat of consumer debt defaults and unsustainable government spending raises concerns about the future economic outlook. A potential debt reduction of $50 trillion could lead to a severe economic downturn, reminiscent of the Great Depression. The unprecedented credit expansion since the Reagan era poses a significant risk, with the Fed’s balance sheet already stretched to unsustainable levels. Roosevelt acknowledged the impact of cartelization on the economy, citing the disappearance of price competition as a primary cause of difficulties. With a looming credit contraction, Congress is expected to offer more government solutions. The government’s financial constraints may hinder its ability to help those in need. The dollar’s value is questioned, with gold and silver emerging as stable, non-debt-based assets. In the political sphere, Democrats may push for socialism if Trump fails to address economic challenges. The need for financial responsibility at all levels is emphasized, with gold and silver predicted to reach unprecedented heights in the near future.



Read more at Investing.com: Here’s Why the US Dollar Hasn’t Crashed Yet