Worldwide Financial Planning

Britain is no stranger to a spooked bond market but does not share Americas privileges. UK government borrowing unexpectedly climbed to £20.2bn in April, up almost 6% from last year.

Let’s now turn to a part of the story few like to talk about openly: how war, sanctions, and global conflict have long been intertwined with sustaining dollar dominance and why that will end.

The inflationary impact of tariffs has not disappeared. The rapid policy announcements have disrupted trade flows with US importers rushing orders to beat tariff deadlines before scaling them back. This is disguising any inflationary effect. But price rises appear inevitable for US consumers.

You can think of Kashmir as conflict and headlines, but behind the noise is something far less discussed and far more critical to the new global economic race now reshaping a potential post-dollar world.

With his typical hyperbole, Donald Trump hailed the agreement as a “great” and “comprehensive” deal and US markets welcomed signs that the most punishing tariffs may be avoided. But investors in UK equities appeared to be less enthusiastic as the hastily arranged agreement leaves a lot unresolved.

While the West has used the dollar to punish and persuade in the past, China has been quietly laying the groundwork for a world where the dollar is no longer needed by them.