Crisis and wars are gonna make other currencies weaker against the dollar. The US can just print more money and send inflation overseas since other currencies will struggle. If one thing goes up, something else has to go down, right? Otherwise, nothing has real value. Think about it like this: at work, if ten people are doing the same job but one crushes it, the boss will expect everyone else to step up too. It's all about comparison.
Why is the Dollar Strengthening?
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GigaBridgeMember
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#2Aug 11, 2017, 02:27 AM
Yeah, it's pretty obvious that conflicts are messing with the global economy, not just the usual economic factors. The USD's recent strength is predictable given how things play out during crises. Investors flock to the dollar as a safe haven. I’m not saying it’s risk-free, but it tends to hold up unless the FED prints too much or investor confidence dips. Plus, with wars, market crashes, and debt problems, the dollar usually comes out on top. That's just how it is when you're the hegemon.