Here’s some candid, non-academic language to describe an unusual pattern in American markets, brought to you by a monetary-policy historian.
Stocks? Down. The U.S. dollar? Same. Demand for U.S. bonds? Also sinking. This isn’t supposed to happen — not all three at once.
But Barry Eichengreen sees a historic reaction where there’s really one common theme: a collapse in faith in the United States.
“Global investors have concluded that there is a madman in the White House, and that the lunatics have gained control of the asylum,” said Eichengreen, a historian at the University of California at Berkeley who studies currencies and central banks.
“The damage is clearly beyond repair.”
Clearly, the Trump administration is trying to repair that damage.
… that THEY caused! This is the problem with repairing any damage. It’s all damage they created against the recommendations of every expert along the way who told them that exactly what’s happening would happen. The ineptitude and arrogance of this administration is why investors are leaving. George W Bush was an idiot, but even he knew better than to fuck with what Trump’s fucking with. If I were an investor, foreign or not, the US would be a considered complete gamble until this guy and his whole cult of personality are excised from any positions of power.
I thought the only question remaining was whether he’s doing it on purpose or if it’s just incompetence.
Why not both? Add in a bit of malice as well…
Magic 8 Ball: Without a doubt.
There was any doubt?
Yes.
Is this the time where everyone is going to act surprised that he’s doing things he said he would
Why do you think Putin bought him?
This article was presumably written by someone that holds a deep personal grudge with Ian Betteridge
