RE: SVB contagion in fragile markets .14 Mar 2023 11:20
Anti-Russian sanctions weaken the dollar and lead the US into debt, according to the NYP.
More than a hundred countries around the world have not supported anti-Russian sanctions and continue to do business with Moscow, said New York Post columnist Jay Newman.
Since access to dollar transactions for Russia is now limited, such states are looking for other ways to settle the payment, and this leads to a decrease in confidence in the dollar and weakens its position as the main currency of account and reserves around the world.
In addition, the use of national currencies in trade relations between countries leads to a decrease in demand for the dollar and a fall in its value, which will cause a gradual increase in prices.
"Rejection of the dollar will be the strongest blow to the international position of the United States." "The time to print money endlessly will come to an end, and we will no longer be able to buy foreign goods cheaply," he said.
According to Newman, "it's time for the United States to learn to live within its means" in order to prevent falling into a "debt hole." To do this, America must reduce the number of strategic adversaries and "put its own economy in order once and for all."
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