Demise of the US Dollar: Greatly Exaggerated or Destiny?
Dollar fears
After a decade of relative strength, the US dollar has
declined sharply over the last six months. This has
coincided with media reports that the world may reduce
dollar usage. We examine the US dollar from two
perspectives – as a medium of global trade and as a
reserve currency. Short-term, we see a mixed environment
for the greenback; longer-term, the effects of dedollarization are likely to be both positive and negative.
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