The "Sell America" Trade gathers momentum [View all]

Source: Yahoo Finance

The dollar and US stock futures dropped while 10-year Treasury yields climbed as investors weighed the risk of Powell’s dismissal and its implications for the world’s largest economy. The selling intensified after National Economic Council Director Kevin Hassett said Friday that Trump was studying the matter, after a report said the president was exploring such a move.

Read more: https://finance.yahoo.com/news/trump-push-against-powell-latest-075114977.html

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I think the selling pressure is bigger than just one news cycle of new silliness from Trump and his economic team of gaslighting bootlickers. Much of the world, and this includes many American investors, appear to be diversifying out of the dollar and dollar assets, and into other currencies.

I guess undermining the dollar and making foreign products more expensive is one exceptionally stupid way to address the trade deficit. Of course, this will only help manufacturing, while financial services will get hurt by this development. I am old enough to remember when the Republican Party, formerly known as the "party of free markets", didn't try to pick winners in the economy with every policy.