Keep

 

in mind the $ is 47% of the worlds reserve currency when you factor in its current  purchasing power, is what the study said that caused all of the hubbub a lil bit ago.

So what is the difference really between, say for example...

30% of something just being stolen or taken away 

and something loosing 30% of it's value?

Not much.

Pretty much the same thing.

Purchasing Power of the U.S. Dollar Over Time

Published 2 years ago on April 6, 2021

More Dollars in the System

"Money supply (M2) in the U.S. has skyrocketed over the last two decades, up from $4.6 trillion in 2000 to $19.5 trillion in 2021.

The effects of the rise in money supply were amplified by the financial crisis of 2008 and more recently by the COVID-19 pandemic. In fact, around 20% of all U.S. dollars in the money supply, $3.4 trillion, were created in 2020 alone."

(And that is why we have inflation, not wages going up, supply line snarls etc, those were merely contributing factors. Inflation isn't prices going up, thats the result of inflation, inflation is the expansion of the $ supply. To much of anything dilutes its value (yes even $) and decreases its purchasing power and that's why we are where we are today and our adversaries, Russia, China, Iran, Saudi Arabia are ready to push us right on over the edge.)

"How will the purchasing power of the dollar evolve going forward?"

(I think we all know the answer to that question.

Just a couple of other issues Id like to address.

One is there seems to be this "narrative" 

of:

"Well the $ isnt going down anytime soon there's no currency ready to take it's place."

(It's the, "Do you really wanna give your $ to China" argument so to speak, the only problem with that is, it's just not really what has happened when the worlds reserve currency changes, it doesn't wait for a different currency to be ready to step up to the plate, it just happens, ones turn has come and gone and another will take it's place, ready or not. FYI the worlds former reserve currency's goes a lil something like 

(and pardon me if I get them a lil out of order:

Dutch

Portugal

Spain

Britain

US

Whoever controls the seas? And therefore world trade? Sets the worlds reserve currency.

There is just no historical precedent for another reserve currency "being ready" when the former reserve currency is done running it's course. So why would this be the case now? (Talk about your special pleading.)

Missing The Point On Explosive Dollar Risks

Our Debt.

Our political dysfunction over it.

FED policy raising interest rates.

Weaponizing our currency

All of this has contributed to central banks 

buying gold here recently at a record clip.

The status of the Yuan? Or the coming BRICS currency?

Doesn't have anything to do with any of all that.

Besides, all I have ever heard in my lifetime is

 "Let the market(s) decide."

(FX in this case.)

I suppose market(s) are just gonna know when 

a new reserve currency is ready to step to the plate?

INTERESTING.

It's nonsense, a diversion to keep you from knowing what you are witnessing right in front of you.