[hakesdev]

Yes the fed's balance sheet has inflated, but it has inflated at the same time as dollars have stopped flowing out of the United States through trade and tourism.

The global economy needs dollars:

- 84% of all non-domestic debt globally is US Dollar debt. - Around $100trn of global debts are denominated in US Dollars.

This creates a tremendous demand for dollars, and if they aren't flowing through trade and tourism, dollars will need to be purchased on the spot market or missed debt payments will make these foreign cos go BK.

US Fed's monetary base inflation is different from the ECB and Japanese Fed in that the world will sop up basically all of the money it prints. In order for the US Fed to have the same impact on inflation, they need to print multiples of what the ECB and Japanese Fed print.

I agree in the end the dollar will come, I just think we will have a dollar bull rally before then.

See this thread from Raoul Pal: https://threadreaderapp.com/thread/1264224744271945728.html?...