/biz/ - Business & Finance

>>56231395
>Oil up.
>Foreigners need more dollars for oil.
>Dollar goes up.
>Foreigners need more of their currency units to buy a dollar. So they liquidate treasuries for dollars.
>Interest rates go up.
>Dollar goes up.
>Now foreigners need even more of their currency units to buy a dollar and oil so they front run the market selling treasuries and buying oil.
>Oil goes up.
>interest rates go up.
>Dollar goes up.
It's the petrodollar vicious cycle. Interest rates dollar and oil will rise till they crash the economy and we get a coof shutdown bank holidays and CBDCs or the fed will start build bonds to weaken the dollar.