The Liberal economists and establishment politicians all predicted economic doomsday if Trump was elected. A massive meltdown that would drag down the whole world economy.
As with most of their predictions and polls this year they were all wrong.
The U.S. Dollar Just Reached a 14 Year High
On Wednesday the dollar hit a 14 year high against a basket of global currencies which included the yen, pound and franc. At the same time the dollar index rose to 100.53, a high not seen since way back in 2003.
Clearly the markets have reacted favorably to Trump’s economic agenda which is based on lowering both personal and business taxes and huge infrastructure spending to boost a still slumbering economy.
Undoubtedly, and as Fed chair Yellen hinted interest rates are set to rise which should further strengthen the dollar.
What does this mean for average American’s? Well imports (and as Trump pointed out we don’t make anything here anymore) should be cheaper in the short run while exports may suffer. Any downturn ine xports will surely be offset by increased consumer and business spending once the true consequences of Trump’s agenda settles in.
On note of caution, companies developing countries have loaded up on the cheap debt Wall Street was offering and could struggle to meet basic payments. While troubling if this happens investments in American blue chip companies could go through the roof setting the stock market on a bull run.
Please share this story to anyone who doubts Trump’s economic agenda is what is best for the US economy. In my opinion it is good we start looking after our economy first, then worry about helping other countries.