Trichet disappointed today by not cutting the Euro interest rates more sharply to match the monetization of the US dollar by the Federal Reserve.
The US dollar hegemon is based on relativism. The monetization of a fiat currency does not matter so much if the most reasonable alternatives are also in decline. It will show up as an inflation in the price of real goods, but these can be managed in a financial services regime in the short term.
Do not confuse what the Fed and the Obama Administration are doing now with any sort of long term plan. Their bias is the same as corporate management: getting through the short term and looking as good as is possible in doing it.
Obama would like to shift to a longer term strategy, but this is difficult given the huge momentum of malinvestment that grips our national economy.
"A new, invisible and at times virtual, tyranny is established, one which unilaterally and irremediably imposes its own laws and rules. Moreover, indebtedness and credit distance countries from their real economy and citizens from their real buying power. Added to this, as if it were needed, is widespread corruption and selfish fiscal evasion which have taken on worldwide dimensions. The will to power and of possession has become limitless." Francis I, 16 May 2013