One of the most surprising developments of the 2020s so far has been the strength of the American dollar. As unstable as our fiscal policies have been, American bonds are the preferred safe place for the world to place their wealth. I credit innovation, the free market, and strong businesses as the key to our strength.
The two bank failures in the last week have reminded us of the vulnerabilities in our current financial system. In addition, record inflation weakens the dollar and hurts the poor. I hope common sense and sound fiscal policy will keep the American dollar the preferred world currency, slow inflation, and stabilize the prosperity available to so many.
These failures have shown us that our money is not worth what we perceive. The worth of a dollar is connected to investors’ confidence, risk, and trust. In a fallen world, we can’t put our trust in the plans of man.
“Some trust in chariots and some in horses,
but we trust in the name of the Lord our God.” – Pslam 20:7 (ESV)