Economics
Dollar Reigns Supreme During Virus Crisis With Yuan Stuck in Shadows
- Yuan lures inflows, though blow is seen to China soft power
- Fed moves to ensure liquidity showcased global responsibility
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For all the human and economic damage it has wreaked on the U.S., the coronavirus crisis has reinforced the most important vestige of American power in the global economy: the supremacy of the dollar.
The U.S. moved decisively to help foreigners get dollars when markets started seizing up in March. And in contrast to a previous tendency to emphasize the negatives of a strong exchange rate, U.S. President Donald Trump has highlighted the positives of overseas demand for the greenback.