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WSHazel

(530 posts)
12. A rate cut will do more damage to the dollar
Mon Apr 21, 2025, 07:53 AM
Apr 21

A rate cut during a declining dollar would reduce the value of the dollar more, and would result in higher spreads on Fed funds rates because lenders would not bother to lend at the lower rates if the dollar was weaker.

A lower dollar may help manufacturing a little, but it will hurt financial services badly.

It feels like our economy is under attack by our own government, and I agree with Senator Murphy that the only explanation that fits is Trump is deliberately damaging the economy as part of a fascist takeover.

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