News for hackers. Stuff that matters.
Re:The Global Dollar Short Squeeze by dageshi on Friday April 10, 2020 @05:11AM (#22831266)
The point of the article is that around the world very large amounts of loans have been denominated in US dollars, even in countries that don't use USD. That means there is always a constant and large demand for USD to repay those loans.

So outside of the US, no USD is not just a store of savings, it's a means of repaying debt. Hence why people want it and will accept it as a first preference over most other currencies when international transactions need to be made.

Re:The Global Dollar Short Squeeze by neilwilson on Friday April 10, 2020 @07:45AM (#22832017)
Repaying debt is the same as an increase in the store of savings.

Your personal balance sheet moves in the same direction from a lower value to a higher one.

Re:The Global Dollar Short Squeeze by dageshi on Friday April 10, 2020 @02:38PM (#22836044)
Not in USD it doesn't. You got your loan in USD, spent it to buy whatever you needed, you have assets, not USD. You need USD to repay the loan, where do you get them from?