, Columnist
World Is Stuck With the Dollar as the Reserve Currency
Nothing is going to replace it anytime soon.
It isn’t almighty for no reason.
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The U.S. dollar’s position as the world’s reserve currency might be weakening. In the last few years, the fraction of global reserves denominated in dollars has been inching down:
This follows a longer-term slide; at the turn of the century more than 70% of reserves were in dollars. Meanwhile, central banks are buying more gold, which could signal a lack of confidence in the dollar or the global monetary system more generally.