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Opinion

The Vacuum Effect of the US Dollar

The Vacuum Effect of the US Dollar
U.S. dollar banknotes are seen in this photo illustration taken on Feb. 12, 2018. Jose Luis Gonzalez/Illustration/Reuters
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Commentary

April 2022 will go down in history as a milestone that has only been seen on three previous occasions since 1973; it’s a month in which the S&P500 Index and U.S. Treasuries have fallen at the same time, 5 percent and 2 percent, respectively. Additionally, the U.S. dollar has appreciated against the main currencies with which it trades and reached a new yearly high.

Daniel Lacalle
Daniel Lacalle
Author
Daniel Lacalle, Ph.D., is chief economist at hedge fund Tressis and author of the bestselling books “Freedom or Equality” (2020), “Escape from the Central Bank Trap” (2017), “The Energy World Is Flat”​ (2015), and “Life in the Financial Markets.”
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