Showing posts with label reserve currency. Show all posts
Showing posts with label reserve currency. Show all posts

30 Mar 2026

Time for a new reserve currency?

In my lifetime the US dollar has been the reserve currency. It has been regarded as a safe haven to invest in. Oil has been priced in US dollars.

It would appear the era of US dominance is drawing to a close and the USA appears to want a more isolationist stance. This appears to be the choice of the current US government, elected by the people.

If this is the case I can see the world looking for a new reserve currency. This would not happen overnight, but I can see things changing.

Whatever your views, certain other nations seem to be in ascendancy whilst the USA slowly declines. If I was a third world country I would not be looking towards the USA for inspiration.

18 Jan 2026

Reserve currencies?

Since the end of WW2, the US dollar has been the reserve currency of world trade, but recent events have brought that into question. In the short-term this may continue, but what about the future?

Way back during WW2 Keynes suggested a neutral "currency" called the Bancor that clearing banks only could use in world trade. 

BRICS countries have suggested something else in place of the US dollar. 

I do not know the future, but it seems clear the USA under President Trump is moving away from world trade, so the US dollar no longer makes sense as the world's reserve currency. Also, if the US dollar loses value what then?

Maybe it is time to reconsider the Bancor?

See https://www.youtube.com/watch?v=vqv-HcHTZAg&t=461s