The US dollar is on the verge of losing its throne as the world’s reserve currency, or de-dollarization, is the question that has been agitating geopolitical and economic circles in recent months.
by Luc Olinga
The Street
Famous and influential CEOs and investors couldn’t escape two questions in recent months.
The first is whether the Federal Reserve should pivot its rate hike policy that began last year to combat stubborn inflation in the face of the economic slowdown.
The other question is related to the first: is the U.S. dollar in the process of losing its status as the world’s reserve currency, or de-dollarization, that it has had since the end of World War II?
This question arises from blunt headlines saying that Russia is now considering using China’s yuan for its global trade. Then talk followed that Saudi Arabia, a major US ally, was considering charging in yuan for its oil exports to China.