Is the Dollar Doomed?

The U.S. housing and banking system was the epicenter of the global financial crisis in 2008, and the Fed used a few rounds of quantitative easing (i.e. expanding the monetary base to buy U.S. government debt and other securities) in the aftermath, which kept its currency relatively weak due to plentiful supply.

When the United States finished its t

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What could change things? As other economies grow and become more open, they may be both willing and able to take on the role of a reserve currency. China obviously comes to mind here. Change could also come about if the world comes to have concerns over the health or management of the U.S. economy. The large and growing pool of U.S. debt, now abov

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从布雷顿森林体系到美元指数——了解央行货币政策，先读懂美元指数 Key words: 美元指数，布雷顿森林体系，特里芬难题，G7，IMF，日元 引语： 尽管自美联储加息以来，美元指数呈现陡峭上升趋势，随着加息的暂停，美元指数略有回调。但强韧的经济数据，放缓下降的黏性通胀也增加了紧缩的预期，促使美国长期利率反弹，随之回调的美元指数近期又有抬升的趋势。 美元指数是经济和金融市场分析师密切关注的指标之一，可以反映全球货币市场的动态。关于美元指数的历史和影响，维基百科和其它的网络资料都较少且并不系统，为此，我对美元指数的诞生、影响因素及其影响做了较为详细的整理，希望对大家有帮助。 美元指数是什么？ 美元在全球外汇市场中占据了相当大的份额，通常被视为全球最重要的外汇货币之一。根据国际清算银行... See more

Why Each Time is Worse

Each of these three dollar spikes over the past five decades caused harm to the global financial system at a lower level of dollar strength than the previous spike, resulting in either a planned correction or a self-correction towards a weaker dollar. There are likely two main reasons for this.

Firstly, global trade accounted f

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The title for the chapter on Japan is “A Bug in Search of a Windshield.” While the currency of the Land of the Rising Sun is very strong as we write, there are real structural reasons, as well as political ones, that lead us to predict that the yen will begin to weaken. At first, it will be gradual. But without real reform in government expenditure

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