Nope. The dollar is so strong that other countries are trying really hard to get as much USD as possible. This means that liquidity is drying up and there is a shortage of dollars world-wide.
This is deflationary right until we see the banking sector collapse.
That's one factor, I'd argue it is caused by the $12 trillon is usd denominated debt, and due to the economic situation, no cashflow to pay it. But the Fed has been ramping up printing presses, creating a tug of war. How long before the latter overtakes the former?
You're totally right about repo and massive amounts of loans, but the impact of other countries trying to get USD outweighs this - at least in the short term.
Checkout currency trading right now - the USD is surging compared to every other world currency. That's because demand for USD is extremely high world wide.
I don't think it can happen for any period longer than 1 year, when the entity that can create unlimited money at will has 2% inflation rate as one of their two main goals.
