The US dollar decline is a massive opportunity Hey all,
just a thesis i've had for a while now and there is many charts and data points ive used to get confidence in this. Short term I see the AUD decreasing on the lower demand for out exports (iron, coal, copper), Also house I see an economic contraction likely as house prices have already priced out many and borrowing cost are still elevated from the pandemic lows. With the uncertainty of a possible trade wars, military wars and energy prices i dont see the RBA or Fed lowering rates to what the market is expecting. This will also help the short term decline of the AUD. But once more clarity, economic activity picks up and stimulus either from the fed lowering rates and/or government spending more to keep voters this will fundamentally show the over supply of USD. After all recessions and then subsequent stimulus the USD rises for the crisis and then declines for the next 2 years on Average I see the same playing out but most likely to an even greater scale given the major over supply and focus on the USD.
