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@ Brunswick
2025-05-08 13:32:09
If the dollar loses its global reserve status, the foreign trade debt will be delevered from US exchanges and the average P/E will fall by an order of magnitude (to between 2 and 5). Bitcoin imposes the same kind of pressure, but on all of the world's markets simultaneously. If tariffa don't work, we are heading into a massive stagflationary period. If they do work, we are heading into a massive inflationary period, but technological deflation and asset deflation may be able to offset this offloading of currency into the US economy. Alternately, it may simply push market interest rates down.