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Experts Analyze Trump's Trade War Miscalculations: The Dollar Trust Crisis and Gold's Ineffectiveness

Experts Analyze Trump's Trade War Miscalculations: The Dollar Trust Crisis and Gold's Ineffectiveness

President Trump recently announced a 90-day delay in tariff policies, raising significant market interest in his strategies. Senior media commentator Chen Fengxin points out that Trump's attempt to use America's 8,000 tons of gold to regain control over the global economy may actually reflect challenges to U.S. operational capabilities.

Chen notes that Trump's pressure on the Federal Reserve to lower interest rates and implement extensive quantitative easing was part of his objectives, but the recent plummet in U.S. debt goes beyond his initial expectations. This decline could lead to rising yields, imposing heavy fiscal pressure on the U.S. government, which Trump did not foresee.

While there is currently no other currency capable of fully replacing the dollar's global status, the declining trust in the dollar will likely prompt nations to reduce dependency. The Chinese yuan is the only currency with potential to challenge the dollar, but it still lacks the capacity to replace it.