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... and what it might mean for a retail investor who mostly buys and holds broad market funds?


It means continue buying and holding broad market index funds because the dollar’s value will be sacrificed to prop up equity’s (stocks, land, etc) value.


Do you have any evidence to suggest that the Feds intervention at the short end of the curve is depressing the dollar's value?


I can't provide evidence that this specific intervention will depress the dollar's value, but since the Fed aims for 2% inflation, I expect my dollars to be worth less every day.

https://www.stlouisfed.org/open-vault/2019/january/fed-infla...

At least it's been true for quite some time:

https://www.thebalance.com/what-is-the-value-of-a-dollar-tod...

It seems all invested parties are budgeting at least 7% annual growth in asset prices, from the government's pension fund liabilities to people's 401k and IRAs. Since, voters won't like to see their balances go down, the powers that be will do everything they can to prevent it. And in the absence of a growing young population, I don't see many options other than devaluing currency.


If you bought into the index lifestyle, live with it.




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