USA Dollar Crash Continues - Joe Blogs

[TexasTowelie]

The US dollar continues to weaken as markets react to an extraordinary escalation between the White House and the Federal Reserve.

In this video, I break down the latest developments after the U.S. Department of Justice served subpoenas on the Federal Reserve, with Chair Jerome Powell confirming the action publicly. While no formal indictment has yet been filed, this marks an unprecedented moment in modern US financial history and has raised serious questions about central bank independence.

I explain why President Donald Trump is applying intense legal and political pressure on the Fed, what the subpoenas relate to, and why markets see this as a direct threat to the independence of the Federal Reserve.

We then look at how this situation is feeding into interest-rate cut expectations, why a politicised Fed is negative for the dollar, and how currency markets are already pricing in higher long-term risks.

Finally, I explain why a falling dollar is not good news for the US economy. As a net importer, a weaker currency pushes up the cost of imports, fuels inflation, and comes at the worst possible time — with tariffs already raising prices across the economy. While some exporters benefit in the short term, the overall impact is negative for consumers, inflation, and economic stability.

This is not just about politics — it’s about confidence, credibility, and the future direction of the US economy.

Chapters:
0:00 Intro
0:45 JEROME POWELL
3:25 US DOLLAR
4:45 INTEREST RATES
6:15 INFLATION
10:01 IMPLICATIONS