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Jim is correct.
I read a couple of articles yesterday on this and in the early 2000's the Fed Reserve saw a recession coming so they lowered interest rates. Banks all over the US gave mortgages to anyone wanting one. Good for the US economy as it created jobs as the housing industry boomed.
Bad for foreign investors who bought up many of the mortgages. A common practice as mortgages are usually a safe bet/investment. But alas they are not this time as the US banks lent out money to people who could barely afford it and at sub-prime rates to make it worse. Now with the rates rising and the reality of paying a mortgage and all the bills that go along with owning a home people are defaulting and companies are firing CEO's and going out of business.
The US dollar is dying for many reason, one being noone wants to buy/invest in any US businesses or mortgages with such a bad economy right now.
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