FX.co ★ US economy stuns global community again

According to Business Insider, the United States has entered a new supercycle. If you are not quite sure what that means, do not worry. Even economists seem a little puzzled. However, one thing is certain. Financial flows are about to be reshuffled.

Above all, this new supercycle is marked by the high interest rate set by the Federal Reserve. It seems that the US government sees no reason to leave the rate untouched. It plans to raise it high enough so that inflation will no longer be a problem. Notably, this supercycle may cause risks and economic instability around the globe.

The previous supercycle began with slashing the Fed’s rate to zero, just as the world was struggling to digest major global changes. This move hit hard anyone who had just invested in US Treasury bonds. Investors got a crash course in risk, realizing it was not just a fancy word but a very real threat to their capital.

Meanwhile, Bloomberg has been sounding the alarm yet again. The global government debt is soon set to exceed $100 trillion, pushing us closer to the edge of a global economic shock. This new supercycle promises to be quite the show!