Biden’s backward economic policies

The so-called BRICS nations of China, Russia, India, Brazil, and South Africa are attempting to move forward with their plan to create a new multi-nation rival currency to the dollar. Their hope is to take away the dollar’s reserve currency status – a commanding height that greatly benefits the U.S. economy. More than two-thirds of global transactions are denominated in dollars.

This new currency – if it ever gets off the ground – reminds me of Europe’s play to replace the dollar with the Euro. As the chart below shows, that didn’t work so well, as the Euro has lost steady ground to the dollar over the past fifteen years. It turns out socialism, high taxes, and green energy subsidies don’t inspire confidence in international markets. I call Europe’s common currency the “Euro-Peso.”

Biden’s backward economic policies haven’t done much to inspire confidence in the dollar – but we are still the least rotten apple in the cart.

Never bet against the greenback.