The ongoing global sanctions against Russia in the wake of its invasion of Ukraine may have rightly isolated Moscow, but they’ve also weakened the standing of the US dollar in the process. Shutterstock
Jay Norton, NYPost: Why the US dollar has become an at-risk currency
Everywhere you turn there’s chatter about the ongoing US economic sanctions against Russia. The Russian Central Bank, Russian banks, Russian companies, Russian oligarchs — and anyone caught helping them — have seen their fortunes entangled since Moscow invaded Ukraine just over a year ago.
From Davos to Aspen, American Treasury officials tout the unprecedented scale and scope of this powerful economic weapon.
And why not? The effort has been impressive.
The US government task forces have beached scores of yachts, grounded planes, blocked hundreds of millions of dollars of central bank assets and cut Russian financial institutions off from the global SWIFT financial system.
Sanctions are an ancient game: in 432 B.C., Athens crushed its rival — Megara — by banning their traders from Athenian marketplaces.
For the US government in the 21st century, economic sanctions aren’t merely second nature, they’ve become a central tool of foreign policy. More than 10,000 people and dozens of countries are subject to sanctions worldwide.
Read more ….
Update: NYP: The US dollar has become an at-risk currency (Mordern diplomacy).
WNU Editor: A year before Russia’s invasion of Ukraine I predicted that the US dollar will continue to exist as the global reserve currency for the next 2 to 3 decades (if not more). I do not believe this anymore.
Money printing followed by massive spending has created a debt and inflation crisis that the US shows no signs of stopping. Coupled with a sanctions war against the resource super power of the world (Russia), and the start of a sanctions war against the world’s manufacturing super power (China), I do not have hope that the US dollar will continue to dominate as the world’s leading currency. I now give it 5 to 10 years, and maybe less.
Source : http://warnewsupdates.blogspot.com/2023/03/has-us-dollar-become-at-risk-currency.html