Russia, Ukraine, and a Turning Point for the U.S. Dollar

As fighting escalates in Ukraine, Russia has intensified capital controls to prevent a fund exodus. Officials banned residents from transferring foreign currency abroad. In response to sanctions, the central bank also slapped a temporary freeze on sales of Russian securities by foreigners, seeking to close the exit for tens of billions of dollars.

The impact on Russia’s ruble has been swift, with the currency continuing its record slide. But ongoing tensions could also mark a turning point for the U.S. dollar, according to money market guru Zoltan Pozsar.