In this week's Off the Cuff podcast, Chris and Charles Hugh Smith do something a little different.
Given the thoughtful and in-depth discussion resulting in our recent article on the future of the dollar's purchasing power, Chris and Charles engage in a fundamentals-based debate on the outlook for the U.S. dollar over the next decade.
This is one of those instances in which Charles, a valued contributing editor to Peak Prosperity, sees the future differently than Chris. Chris thinks purchasing power will eventually be driven downward by continued Fed money printing and the inability of the U.S. to let the dollar strengthen too much else it can't service it debts. Charles sees things differently, and sees a likelihood that the dollar can rise notably from here due to the mathematical function governing its role as the world's reserve currency.
While Charles realizes his position is more non-intuitive and perhaps less popular, it's worth pointing out that he presented a similar shorter-term forecast back in the fall of 2011, which proved to be impressively prescient. It's also worth noting that this is not an anti-gold argument, either, as Charles has gone to lengths to show that he does not see gold and the dollar as materially correlated and that both could trade upwards from here.
This is an impressively astute exploration of an important yet vexing topic – those interested in preserving purchasing power should definitely listen to it in full.
by amanda-witman-2 
