Source: The American Prospect
by Ryan Cooper
“Something odd is happening amid the great market instability touched off by Donald Trump’s lunatic tariff announcements. Normally during a chaotic trading situation, anxious financiers run to what has long been the safest of investments: dollars and dollar assets, like U.S. government debt. That drives the value of the dollar up and the interest rate on debt down. Instead, we are seeing the opposite: The dollar is falling against other currencies, and interest rates on American debt are increasing. As yet, these movements are relatively modest, and may represent nothing more than chaos in the market. However, they do indicate a likely weakening of confidence in the stability and security of the dollar as a global reserve currency – which, given Trump’s deranged behavior, ought to be expected. A country that elected a senile criminal madman twice is not to be trusted.” (04/14/25)
https://prospect.org/economy/2025-04-14-how-euro-can-replace-dollar/