freetoplayandearnnftgames| Commodities expert: "People buy a lot more dollars than they sell"
editor 2024-05-22 09:19:22 Finance 26
Huitong Financial App News
Tuesday (May 21)FreetoplayandearnnftgamesAccording to Business Insider, commodities expert Jeffrey Christian (Jeffrey Christian) said de-dollarization was a "bad joke" and that no one was actually selling dollars.
Christian, chief commodities analyst and founder of the CPM Group, pointed out that there is growing concern that the dollar could soon replace the dominant currency in global financial markets.
More countries, including Russia, China and other BRICS countries, have expressed interest in moving away from dollar-based trade. However, Christian says it is not realistic for anyone to give up the dollar to a large extent.
"it's a joke, pointless and very long-lasting. It lasts dreadfully. No one is selling dollars, "Christian said in a recent speech about de-dollarization."
Market commentators have long warned that the global economy will take concerted action to dollarize, pointing out that the use of the dollar in world trade and as a central bank reserve currency is declining.
But speaking of international trade data, Christian said the decline was not as severe as some thought. As of April 2022, the dollar accounted for 88% of all daily currency transactions, according to the bank for international settlements.
Cristian points out that central banks have not abandoned the dollar either. The dollar also accounted for 54% of total foreign exchange reserves in the fourth quarter of 2023, down slightly from 54% in the fourth quarter of 2021, according to the International Monetary Fund.Freetoplayandearnnftgames.8%.
The holdings of US dollars still significantly exceed those of other foreign currencies. By 2022, its closest competitor, the euro, will account for only 19% of the central bank's total reserves, down from about 29% a few decades ago.
"the central bank's foreign exchange holdings have been diversified, but not at the expense of the dollar, nor away from the dollar," Christian said.
At the same time, the dollar has appreciated over the past decade, which in itself indicates demand for the currency. The dollar index, which measures the weight of the dollar against a basket of foreign currencies, has risen nearly 40 per cent since bottoming out in 2011.
"obviously, people buy a lot more dollars than they sell," Christian said. "de-dollarization is a myth, a joke, a load of nonsense, regardless ofFreetoplayandearnnftgamesWhat do you call it, but you can't call it a fact, nor can you call it reality, "he added later.
Other economists have also refuted the idea that the dollar is being eliminated. Economists had previously told international commercial banks that once a currency was seen as a safe haven, it would take decades to replace it.
Federal Reserve Governor Chris Wallace said at Monday's meeting that despite the challenges facing the dollar, there is no doubt about its current dominance.
"the role of the United States in the world economy is changing, and so is finance," Wallace said. "by many measures, the dollar remains by far the most widely used currency."