There are some very good points clearly made in this interview that explain much about the current market situation and how it will impact the value of fiats.
“Claudio Grass (CG): In the last couple of months, we have seen volatility return to the stock markets and investor anxiety on the rise. The trade war and a slowing economy seem to seriously threaten the record bull market, while predictions of a recession hitting before 2020 are gaining traction. Many blame the trade war for the increased choppiness. Do you agree with this assessment, or do you think it is only exposing deeper problems?
“Keith Weiner (KW): The trade war cannot help. And in addition to the obvious problems of declining revenues (and standard of living for everyone), there is a monetary problem. Corporations all over the world borrow dollars. Trade restrictions make it harder for them to get dollars. This perversely drives up their demand for dollars. And a rising dollar, as they measure it in their native currency, puts additional stress on them. Their debt service payments are going up, just as their ability to generate revenue is going down.”
Read it all here