President Trump reordering of the international monetary system; ‘Mar-a-Lago Accord’

 


It could help the administration achieve some of its ambitions, particularly regarding a reduction of the U.S. debt burden and revival of American manufacturing.

Bessent has reportedly said he would push for “some kind of global economic reordering,” according to the Wall Street Journal.

https://www.wsj.com/politics/policy/scott-bessent-sees-a-coming-global-economic-reordering-he-wants-to-be-part-of-it-533d6e71

Essentially, the deal would seek to recruit — or strong-arm by dangling access to American markets, or the American security umbrella — America’s biggest trading partners and creditors into an arrangement that would see them work in concert 

to weaken the U.S. dollar, lower American borrowing costs and encourage more manufacturing-related investment in the U.S. 

— all while preserving the greenback’s primacy on the international stage.

The main focus of the deal is the dollar

U.S. dollar’s reserve status comes with pros and cons. One of the drawbacks is that it causes the greenback to be perpetually overvalued by boosting demand for reserve assets like U.S. debt.


Dollarkursen ger USA sämsta konskurrenskraften på 40 år


Joseph Adinolfi MarktWatch 1March 2025 

https://www.marketwatch.com/story/wall-street-cant-stop-talking-about-the-mar-a-lago-accord-heres-how-the-currency-deal-would-work-f8fbbda0

 

RE; Hög dollar bra för svenska företag. Dåligt för hushållen.

Svag dollar dåligt för svenska företag. Bra för hushållen (ända till dess företagen börjar avskeda.


Make Them a Mar-a-Lago Accord They Can’t Refuse

https://englundmacro.blogspot.com/2025/02/make-them-mar-lago-accord-they-cant.html


Tillbaka till Rolfs länktips 1-2 mars 2025

https://englundmacro.blogspot.com/2025/03/rolfs-lanktips-1-2-mars-2025.html







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