Ask Prof Wolff: Is the U.S. Dollar in Trouble? 

Three years ago, nobody could have foreseen the current state of the U.S. dollar. The U.S. continues to repeat the same mistakes that have led to the dollar's current situation. As a result, there's no guarantee that the dollar's future will be as bright as it's hoped to be.

Corrections in the economy can occasionally occur after market peaks, but it can be difficult to forecast when and how big they will be. A. 'massive' correction has been not mentioned by some analysts. It makes me wonder if I should make any changes to my portfolios, or even think about making some defensive investments.

The United States as we know it is no more. All signs point to 2024 being a year of significant economic hardship for the entire nation. Put your cash to use straight away to increase its value. I was aware that I needed to invest. I had no idea how quickly a few thousand dollars a month would go up. Though it is. Since 2020, I've made about $600,000.

The U.S. economy can actually get better if only the govt can start making better decisions for the sake of it's citizens, cos' they've really made life more difficult for its residents. Hyperinflation has left the less haves bearing the brunt of the burden. Its already eating into my entire $620k retirement portfolio. Like where else can we invest our money with less risks?

Three years ago, nobody could have foreseen the current state of the U.S. dollar. The U.S. continues to repeat the same mistakes that have led to the dollar's current situation. As a result, there's no guarantee that the dollar's future will be as bright as it's hoped to be.

According to certain economists, it's possible that the U.S. and certain parts of Europe might experience a recession at some point in 2023. Although a global recession, which is characterized by a decline in annual global per capita income, is relatively uncommon due to the faster growth rates of emerging markets like China, in comparison to developed economies. I have pulled out more than $340k from my bank. After all, the FDIC covers only up to $250,000, and the implosion could have bad effect. Looking to invest into the stock market now. Does anyone know how I could go about it?

Things are strange right now. The US dollar is becoming less valuable because of inflation, but it's getting stronger compared to other currencies and things like gold and property. People are turning to the dollar because they think it's safer. I'm worried about my retirement savings of about $420,000 losing value because of high inflation. Where else can we keep our money?

The Market have been suffering over the past month, with all the three indexes recording losses in recent weeks. My $400,000 portfolio is down by approximately 20%, any recommendations to scale up my returns before retirement will be highly appreciated..#

It is a government inspired crisis this time. The Treasury have to sell Bonds to cover the trade imbalance and the government spending imbalance. In order to sell them they have to raise interest rates and the old long-term, low risk, low interest, AAA investments (including Treasury Bonds), held by the banks (often due to government regulatory policy), become next to worthless. The next milestone is the 15th when the government issue a new batch of Bonds. I have approximately 350k stagnant in my portfolio that needs growth. What is the best way to take advantage of this downturn?

Heard someone say 2023 could be more trouble for stock holders, yet a good buying opportunity! I'm not new to the markets but unconvinced with my conviction lately. I just want to do it like the legends Ackman, Buffet, Lynch, etc, unfortunately I'm in my 50's and time is of essence.

“There’s more and more of a concern that incoming data is revealing that the Fed might be a little bit behind the curve than maybe they expected heading into this year,” said Bipan Rai, North America head of FX strategy at CIBC Capital Markets in Toronto. In my portfolio, I'm noticing more red than green. How are other people in this market raking in over $350k gains within months.

Dollar losing it's primacy is indeed a BLESSING for the human kind!!

Thank you Proff Wolff for your succinct, honest portrayal of information. I appreciate your effort to steer away from inflamitory or emotionally charged delivery ... sometimes an emphasis needs to be made but it is easier to disseminate info w/o the sentiment. Much gratitude

Thank you Lord Jesus for the gift of life and blessings to me and my family $14,120.47 weekly profit Our lord Jesus have lifted up my Life!!!🙏❤️❤️

*Becoming a good trader takes time and patience. When i first got into trading i was liquidated twice, and lost my entire mortgage deposit. I could have given up, but decided to learn how to trade and put it into practice. 4 years later and i am glad i made that decision.*

The Hegemonic US in general must or be forced to relearn how to live within its means and mind its own business in the world

The weapons contractor worked so hard and the Dollar value dropped so fast

If the dollar collapses the war machine will run out of gas.

Investing is considered a bedrock in making generational wealth. Most people don't know when, where or what to invest in. Fortunately, great investors of the past and present can provide us with guidance and ideas. Meaningful contributions are always welcomed.

According to certain economists, it's possible that the U.S. and certain parts of Europe might experience a recession at some point in 2023. Although a global recession, which is characterized by a decline in annual global per capita income, is relatively uncommon due to the faster growth rates of emerging markets like China, in comparison to developed economies. I have pulled out more than $340k from my bank. After all, the FDIC covers only up to $250,000, and the implosion could have bad effect. Looking to invest into the stock market now. Does anyone know how I could go about it?

Thank you Professor Wolff for that clear and simple to understand explanation.

Excellent knowledge contribution, that of yours, Dr. Wolff!

"Once we lose the world's reserve currency status, there's no going back. We won't get that prosperity that we've been able to enjoy. It's going to be a very very different world in the United States of America." ~ Mike Maloney

Nice content! Few years back i was assistant to a wealthy pen artist and within the short period i worked with him i observed that he had quite a chunk of investment everywhere, stocks, crypto, dividend investing to name a few, so he had revenues coming in from all angles. And in a year his worth doubled. With this i learned that the rich stay rich by investing.

O BRICS está se tornando cada vez mais influente no o mundo como sua cooperação econômica uns com os outros é fortalecedor 🇧🇷

Viewing from the bright side, this shift in general could be a blessing to the US when it becomes a true republic instead of an empire and equal among all.

So basically, it's time for US (US) to pay the piper.

Professor Wolff is the very Few of Americans who know Why US Dollar is in Trouble. He is Very Knowledgeable and Straight forward and tell all the Truth no matter if one likes or not. Chinese like this Smart American economist and professor. His opinion is based on the facts Not on the political status, which is the most important. ❤

The Worst Is Yet To Come Be Prepared Not Scared 😳 God Help Us 😢Us Will Be Like Cuba Costa Rica Venezuela Is Biblical The Richest Countries Will Be The Poorest

Thanks for the education, Professor Wolff. 🙏❤️🙏

As informative as always thanks Professor Wolff.

As always, thank you Dr. Wolff for the invaluable insights and the incredible work that you do!

Thanks for your Honest straight forward review without any BS.

I like this guy; he is knowledgeable without being arrogant like most people from the West.

The US national debt is more than $31 trillion, with 38% of it held by foreign entities. The US also has $38 trillion in unfunded Medicare liabilities and $17 trillion in unfunded Social Security liabilities The US dollar is the dominant reserve currency, backed by its perceived strength, allowing the US to print unlimited dollars as long as the world maintains trust in it. The US dollar is the backbone of US power, and any actions that undermine confidence in the currency threaten to destabilize its position of dominance. Each unilateral sanction imposed by the US risk damaging the stability and credibility of the US dollar, leading to dire consequences for the nation's power and influence. The US is the only country actively undermining the strength of the US dollar. The freezing of Russia's $300 billion currency reserve by Western governments may lead countries to reconsider investing their funds in US Treasury bonds. A significant portion of US dollars is held outside the US, estimated at 60-70% of all US dollars in circulation, due to its status as the dominant reserve currency and wide use in international trade and finance. The one trillion dollar trade deficit of the US is a consequence of being the reserve currency, as a strong dollar makes it difficult for US businesses to export goods and services while simultaneously making it easier for other countries to sell to the US. Countries are shipping goods to the US in exchange for green pieces of paper. The US budget deficit is $1.38 trillion in 2022 which must be paid for by selling more Treasury bonds. The interest on this debt is greater than the military budget. To pay the interest on its debt, the government sells more Treasury bonds, leading to a cycle of increasing debt. The US printing of dollars has been exporting inflation in other countries for decades, but will eventually increase US inflation. Raising interest rates to fight inflation decreases consumer and business spending, increases the trade deficit, and higher interest payments on government debt. Other countries will respond to the US raising of interest rate by raising their interest rate, risking global recession. The Plaza Accord addressed this issue in the past, but it will be challenging to implement such measures now. A well-run country collects taxes to fund essential services and infrastructure. In the US political system, wealthy corporations and individuals can lobby for tax breaks. The shortfall in funding for the US government has reached $31 trillion. Instead of collecting taxes from wealthy corporations and individuals, the government pays interest to them. Banks hold Treasury bonds for their safety, liquidity, regulatory compliance, and potential profitability. When interest rates on Treasury bonds rise sharply, the decrease in bond values reduces liquidity and makes it harder for banks to raise cash quickly. This causes depositors to lose confidence, triggering a bank run. In response to the current bank run, the government is issuing Treasury bonds to raise funds to compensate depositors for any lost funds. There are $19 trillion in deposits in US banks. The estimated unrealized loss on these treasuries is 1.7 trillion. The total size of US banks' equity is 2.1 trillion. The new Bank Term Funding Program (BTFP) help prevents discounted bondholders from taking losses when they have to sell them urgently. The BTFP accepts discounted bonds at face value to be used as pledges for loans to inject more money into the economy. More inflation. It's a Ponzi scheme.

Wow! Real truth. Those living in the USA are not use to hearing truth.

This administration is putting so many families into difficult situations, I pray for our country. low income people are suffering to survive! I appreciate Mrs Celina raghee Imagine investing $1000 and receiving $5200 in a few days

Once again, thanks for clarifying the finer points of this tragedy occurring in real-time before our very eyes. Won't be long before this hits home; then, even the eternal optimists will agree with you once the real pain starts--this is only the beginning. God Bless, sir.

My favorite economic guru. .ty for all your hard work...the information gained from your talks is invaluable...

This is my first time hearing this gentleman. He makes his answer to this question quite plain and easy to follow. You have definitely earned a sub. Many thanks for your perspective Professor Wolff. 🙂

The world bulley is loosing his title

The need for Prof. Wolff's explanation is the reason why US dollar is in trouble.

Increase U.S. manufacturing, make a better product. U. S. Government, big corporations, big media, central banks should give up the Globalist agenda idea.

Most to-the-point explanation I’ve heard so far. Thank you.

Thank you for explaining the problem to the people who refused to believe it which I feel is very high because they don’t understand basic economics let alone balanced a checkbook 😂

Well said prof.

Trading in Chineses money? Hahaha. Good luck with that.

Me as South African citizen 🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣🤣💪💯 I'm happy

Thank you professor 👍 I appreciate the way you make abstract ideas understandable 👍

As someone from the global south people like Pr. Wolff give me hope.

You are the best, wise and brave American. Salut. Our country needs more smart soul like you.

Largest producer of oil is UNITED STATE ..

Thank you! I’ve seen so many videos on RU-vid, about BRICS and the US dollar but none of them actually explain what happens if the US dollar fails. And it’s nice to have someone actually explain it plainly and bluntly.

Very clear and informative. Thank you. God bless you!

Today Brasil and China announced that bilateral trade will not be in dollar anymore.

Chose cheap paper is backed by biggest military in world 😅 don’t forget to mention that

What will happen to the Euro as the dollar declines in value? Are these currencies inextricably tied, or will the value of the euro actually increase?

We need Kazakhstan or Kyrgyzstan in "BRICS" so it can be "BRICKS"

C R A P A T A L I S M

We the United States should join BRICS as soon as possible we are broke !!

No. The U.S. dollar certainly is not perfect but it’s the best the world has right now.

Not U.S. Dollar in Trouble. U.S. it is Trouble.

Thank you for sharing information regarding dollar. It was very informative. I personally believe that each country should trade in its own currency. It should value it's own currency just like their country. One country should not have dominance all over the world. It is dangerous.

Well done prof !!!

Sorry to dislike but I'd suggest to wider the context for your audience: the USD is the worst currency in the world, except for the rest.

What are your thoughts about paper currency being replaced with a digital currency which will give the government exclusive control and ability to manipulate. .? As a related comment, whoever controls the currency and food supply will control the population.

Thank you professor for the video, very informative and clear to understand. My take on this is that America has gone too far acting like a corporation rather than actively trying to better it’s citizens or the global community. We go to other countries for oil and destabilize regimes. We are loosing our status as a hegemon and maybe it’s a good thing

I expatriated myself years ago but I figured I'd have more time to engineer my money transfers. Now, thanks to recent US shenanigans, I have to figure out how to get my assets out of the US quickly without uncle sam clawing back half of what i have.

Thank you for this video Professor... I learned a great deal here.

we might not be that but still have the strogest military

Printing unlimited currency is the root cause. The world has trillion of usd.

No matter what happen the world over still preferred USD , anyone prefer to hold i piece USD or one stack rmb.which are more convenient.???

Great Info Prof Wolff - Subscribed. Thank you sir, keep sharing your knowledge.

Fantastic explanation. As a business owner who manufactures in the US but relies on raw material from Europe this is of great concern. I feel that he captains of industry and corrupt politics led us to this point in exchange for past profit increases.

It’s always a pleasure to watch your show.

Dollar .. Titanic ship that breaks in the middle to sink into the Bottom...?

Dollar is economic terrarist so many countries through away doller

Hatts off Professor...Richard Wolff...A whole economic scenario in few minutes... Salaam Respect Namaste to Hosts Guests and viewers.

Making money is not the same as keeping it there is a reason why investments aren't well taught in schools, the examples you gave are well stationed, the market crisis gave me my first millions, people shy away from hard times, I embrace them.. well at least my advisor does lol 0:01

As always prof Wolff is correct, his explanation is clear and logical. The collapsing usa’s hegemony in terms of diplomacy, economic power and technologically is clearly evident from what is happening in the world. The process is accelerating as banks are collapsing and high tech industries are laying off personnel due to overstock of chips and declining productivity as inflation remains high and tends to increase rather than decreasing. The moment of US dollar collapsing is near and it could happen in a moment like an avalanche.

Brazil , China , Sudan , Kenya have dropped the dollar .

*Becoming a good trader takes time and patience. When i first got into trading i was liquidated twice, and lost my entire mortgage deposit. I could have given up, but decided to learn how to trade and put it into practice. 4 years later and i am glad i made that decision.*

If you wanna be successful, you most take responsibility for your emotions, not place the blame on others. In addition to make you feel more guilty about your faults, pointing the finger at others will only serve to increase your sense of personal accountability. There's always a risk in every investment, yet people still invest and succeed. You must look outward if you wanna be successful in life.

The life of a currency is the trust and honesty that go with it

Thank you Professor! Superb and succinct analysis! 💯🙏

The irony of capitalism is that it works best with an even distribution of wealth because then you maximize both the amount of consumers and the money they have, but capitalism instead drives the trend toward inequality at the expense of itself.

Gold is the only way to hedge the devalued dollar..

Recessions are part of the economic cycle, all you can do is make sure you're prepared and plan accordingly. I graduated into a recession (2009). My 1st job after college was aerial acrobat on cruise ships. Today I'm a VP at a global company, own 3 rental properties, invest in stocks and biz, built my own business, and have my net worth increase by $500k in the last 4 years.

This is why wars started around the world🌎🌍🌏🥀. Dollar💰 strong as never before... 😢

As an American with his small amount of savings in USD, which country’s currency would we recommend exchanging into to avoid personal devaluation?

Superb Analysis, thank you. SUBSCRIBED !!

Very well explained Thank you

Love you Prof Wolff! Thank you for caring enough to share the truth about the USA diminishing dominance!

Greetings from Mexico City!! Thank so much for sharing your knowledge, expertise and insights. I can barely imagine what will happen in US when they receive back lots and lots of devalued dollars.

Sharing will save the world.

Does anyone have seen the gold reserve if they are really gold or not?

Good thing the usa took over bitcoin

Excelente trabalho!!

Excellent presentation Prof Wolf. Many thanks

Wolff is the opposite of brilliant,