by Outcast_Searcher » Sat 14 Oct 2017, 22:01:50
$this->bbcode_second_pass_quote('shortonoil', ' ')When the US economy is strong imports go up, and the dollar goes down as more dollars enter the world market. That makes it easier for dollar denominated debt holders to service their debt.
Except that there appears to be very little correlation between a strong US economy and the strength of the dollar. While you're spinning stories, you should try looking at some actual data.
http://www.macrotrends.net/1329/us-doll ... ical-chartFrom about 83 to 89 the US economy was strong and the stock market was bullish. But the dollar went strongly up until early 85, then strongly down until mid-88, and then was fairly flat on balance.
For the last 6 recessions, the dollar was low during three, moderate during two, and high during one. No consistency there.
The dollar surged over 25% during the tech bull market and very strong economy of the latter half of the 90's.
I will agree that a weak dollar makes it easier for debt holders to service dollar denominated debt. But not with a claim that when the US economy is strong, the dollar goes down.
Given the track record of the perma-doomer blogs, I wouldn't bet a fast crash doomer's money on their predictions.