by Adam Sharp
Daily Reckoning
The U.S. dollar remains the king of currencies. For now, at least.
The greenback’s share of global foreign exchange reserves sits around 58%. However, back in 2000 the dollar was even more dominant with a 72% market share.
Meanwhile China’s yuan only makes up about 2.2% of global forex reserves, but that’s up from 1.1% in 2016. The currency’s share of global payments is higher at around 4.7%.
China’s leadership is now making a push to grow the yuan’s role as both a reserve currency and in payment. Specifically, the country is seeking to take advantage of recent U.S. bond market volatility.