The two countries have also agreed to trade directly in their own currencies. It’s just one case of a significant departure from decades of using the dollar as the primary currency for global trade. What is driving this shift away from the dollar, and what are the implications for the ...
The flip side of prices generally rising is that your currency can't buy as many goods as it could before. When we say a currency has "weakened" we are saying it can't buy as much in foreign currency as it did before! However, I think the dollar has fallen for completely different ...
This is an audio transcript of theUnhedgedpodcast episode: ‘Why the US dollar is the world’s problem’ Katie Martin The US economy really seems to be getting something right. I mean, we’ve had some slightly dodgy numbers recently, but the gap between where the US is and where the res...
The US dollar is the world reserve currency. As such, it tends to rise when market risks increase because investors and business rush to its safety. The same happened in March, when the novel coronavirus illness was declared an international pandemic. As seen above, the US dollar index ral...
UnitedStatesisstilladeadend,becausethedebtistoolarge. AtthisstagetoensurethattheeconomicrecoveryintheUnited States,theUnitedStatesmusteliminateallpotentialcurrency rivals,oncetheotherpartofcurrencytoreplacethedollar's roleintheglobaleconomy,sothenegativeconsequencesof ...
Currency is the investment target of the capital market, and behind the depreciation is the flow of funds to the current higher interest rate US dollar. Currency is a medium of transaction, and its stability is crucial for commerce, trade, and people's livelihoods. Especially in the context ...
Because of the US dollar settlement, the clothing orders for spring and summer this year have already been sold to Zhang Dong Qing by US dollars in advance. "The recent settlement of foreign currency, the renminbi is more, the difference is more profits." From the end of last year, the ...
Claudia Romeo
The US dollar is the world’s reserve currency, the representation of US economic might on the global stage and the de facto currency unit for the overwhelming majority of financial assets.
There is a potential downside to this rationale, however. Devaluation also increases the debt burden of foreign-denominated loans when priced in the home currency. This is a big problem for a developing country like India or Argentina, which holds lots of dollar- and euro-denominated debt. Thes...