The New York Times is at it again with a long hit piece on the American economy and the dollar.
Virtually every claim they make is factually wrong.
I’ve got a couple numbers for you. Maybe the most important error in the Times piece was their failure to cite that 89 percent of foreign exchange trades are dollar based. Now if that isn’t King Dollar, I don’t know what is.
And the principal stablecoins are dollar-denominated. And foreign investors have bought around $263 billion of Treasuries over the past year, and these government yields have gone up mostly because of a strong economy is raising real interest rates.
This is a healthy return to normalcy.
Meanwhile, the Times’ biggest cheap shot was some mumbo jumbo about Norway’s wealth fund pulling out of the United States and unfortunately for the old Gray Lady, that’s completely untrue, factually.
And then the old saw that Treasury Secretary Scott Bessent is repurchasing off the line old Treasuries in order to somehow fix prices and yields. Wrong. Mr. Bessent has denied this. As an old Wall Street hand, he knows well. You’re not going to be able to fix prices in a $32 trillion market.
Yet what he is doing, is adding liquidity by buying back old issues and putting in new ones. And of course the Times, in a mob-like assassination attempt on the American economy and King Dollar, never mentions the incredibly good news where median real income just hit a record high, and poverty rates just hit a record low, including children’s poverty.
Almost anyone can see last month’s incredible jobs number which is an increase of about 220,000, including upward revisions, plus the boom in business investment, capital expenditures, and the AI boom, which is rising at a 20 percent year on year rate.
The inflation rate’s coming down gradually. And the Atlanta Fed just estimated a 5.1 percent real GDP growth rate for the third quarter, ending September 30. President Trump is right. This is the hottest economy in the world by far.
None of this was in the piece. Shame on the Times. Shame on the reporter. At the same time, Mr. Trump and the GOP could use a better loudspeaker for all this good news.
From Mr. Kudlow’s broadcast on Fox Business Network.
