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/biz/ - Business & Finance

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18009427 No.18009427 [Reply] [Original]

why is everyone dumping their currency to buy USD?

>> No.18009507

>>18009427
Yeah I'm very curious as well....

>> No.18009701

>>18009427
>>18009507
Because since bretton woods had the usd as defacto reserve currency people never acted as if the gold standard had ended.

Also other fiat currencies are collapsing fast and hard while the usd is having deflation.
However the usd will get inflation soon tough probably delayed by two weeks by the merkel coronavirus shit.

The fact that bitcoin is holding so well in a deflationary situation is making me think that 100k by 2021 is extremly low, we are probably talking about 500k level at this rate.

>> No.18009756

>>18009701
God also i have not considered the ammount of fiat that will be pumped into the economy all at once when people without wages need to eat and use their savings.

Fucking hell, may be a good time to start to work on citadels because things are going to become crazy.

>> No.18009847

>>18009427
Because they have debt in USD that has to be paid in USD.
USD starts to moon as a safe haven currency and suddenly servicing debt becomes much more expensive.

>> No.18009937

>>18009427
to put their debt into it and crash the dollar

>> No.18010039

My retard-level understanding is that it's because deflation makes the USD more valuable and we're in a deflationary period

>> No.18010076

how do we end up in a deflationary period when there's so much printing going on?

>> No.18010192

>>18010076
I haven't seen anyone explain it yet but from what I could figure it's because the economy is at a standstill right now. I used to think inflation and deflation were entirely about the money supply but it's actually about the value of the money.

Again from what I can tell the reason they're printing so much is to offset the insane deflation were experiencing right now with so much of the economy shut down. And so when everything starts returning to normal the inflation will kick in.

>> No.18010298
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18010298

When will the deflation end? How many weeks until my UUP calls top printing?

>> No.18010925

>>18010298
in the 7 Stages of Empire, the theory goes that hyperinflation will kick in when everything will return to normal, so after the quarantine when people will start to buy again, and will be doomed without knowing it

>> No.18011477

>>18009427
Always have a bit of fiat to buy more crypto. Currently stacking OGN and Zano, never selling

>> No.18011683

>>18010298
holding 4/17 UUP calls my brother

>> No.18012058

>dollar value drops
>buy USD
>USD goes back up
>cash out
>?????
>PROFIT!

>> No.18012093

reserve currency bby. it's gonna get stronger as other countries around the world implode. If eurozone implodes because of italy, USD will be the currency of all currencies, EVER.

>> No.18012177

people only trust USD, GBP and EUR not to go under full retard hyperinflation

>> No.18012222

>People doubted in me holding my staight USD

Take that nerds

>> No.18012279

>>18009701
>>18009756
You are smoking weed.

>> No.18012369
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18012369

>>18012177
>EUR

>> No.18012370

>>18009701
Found John McAfee

>> No.18012395

>>18009427
>why is everyone dumping their currency to buy USD?

Because they want to buy food instead.

>> No.18012407

>>18009427
People dont trust the economy, especially with everything so volatile. That's why everything has been decreasing in value

>> No.18012491

>>18009756
>people only eat when they lose their wages

>> No.18012592

>>18009427
it is not the forex market that is driving USD higher, it is "assets" denominated in USD that drives USD higher.

>> No.18012932 [DELETED] 

>>18012491
>People buy bacon with their 401k

>> No.18013389

>>18012491
This is extreme people will throw a lot of fiat into the economy to stock up.