$Invesco QQQ Trust(QQQ.US) I feel like I've fallen into a cognitive blind spot, always thinking high inflation = high interest rates, low inflation = low interest rates. Is it possible that Trump actually wants high inflation with low interest rates? Of course, it might not be this war, and it might not be before the midterm elections.

Driven by war, one can achieve "financial repression" with high inflation and low interest rates. Drawing on WWII experience, war is the best excuse for the government to massively intervene in the economy and implement "high inflation + low interest rates".

In a state of war, the government can legitimately demand the Federal Reserve to print money without limit to fund military expenses (monetizing the deficit). The severe post-war inflation would greatly dilute the value of pre-war debt. As long as the final outcome is victory, dollar hegemony can be maintained, allowing the debt to be passed on and creating space for a new round of debt expansion. This might just be a high-risk, high-reward way of clearing debt 🤔