You may have heard POTUS screaming that US should also have negative interest rates like Europe.
Negative interest rates would be toxic for the banking system without the benefits of increasing aggregate demand for the economy. It will further stymie consumer confidence, and lead to cash hoarding outside the banking system (hence weakening the banking base) and just like what Larry Summers, ex Treasury Head, says it will be black hole that we could never be able to walk out of. So be careful what you wish for, Mr Trump, it might just be what you're going to get when the recession knocks on America's doors.
So the consequence of negative rates outside of US is the outflow of money from those countries into the US, causing the USD to rise, something POTUS dislikes. So right now the USD is the safe haven, but when US also starts moving in the same direction, guess where that safe haven will be next? GOLD! Gold's current weakness may be a good time to start accumulating some physical gold.
