How long do you think the USD will remain as the reserve dollar
I would think less then 10 yrs
If nothing else your entitlement problems and health care will BK your country
I think the problem will become a loss of confidence in the USD in less then 10 yrs
For sure it will happen
The thing is nobody has an exact time table
I know as of today this seems impossible if we look at the strenght of the USD
However, 10 yrs and a lot can happen
The math is obvious, and it is becoming a game of chicken IMHO
Nobody wants to even think about what the loss of confidence would mean
It's not as if we don't have lots of examples to study
I know
Bernie Sanders will save us
A lot of people actually believe that nonsense
This from a man with 3 homes, none of which are cheap
Wonderful topic to bring up Wayne.
"The US dollar will likely remain a reserve currency as long as the US Federal Reserve maintains and defends the integrity of the US dollar and the US economy remains one of the major economies in the world and US banking and financial markets remain primary markets for trading currencies and international securities.
If the US economy and dollar were perceived as becoming less stable and reliable, then the natural shift would likely be primarily to the Euro as the primary reserve currency. That would have significantly negative consequences for the US economy and market. If foreign holders began to dump their dollars and dollar based securities then that would trigger inflation due to the devaluation of the dollar."
Based on this assessment, and Trump launching the US economy back to #1, one would think that Trump has protected our position in this realm..............at least for awhile.
Others have been saying for some that this will change:
https://seekingalpha.com/article/4208881-dollars-days-reserve-currency-may-numbered
The U.S. dollar's privileged position as the reserve currency grants the United States a few advantages, including lower inflation and interest rates than it would otherwise have.
China and Russia have long been working to reduce the dollar's prevalence in international trade but now Europe has apparently joined in.
China has been reducing its holdings of Treasury securities this year, removing one large buyer from the market.
Europe is creating a special purpose vehicle to get around U.S. sanctions with Iran in a move that the Wall Street Journal states could jeopardize the dollar's reserve status.
JPMorgan seems to agree and recommends that investors prepare for de-dollarization by amassing non-US assets.