The dollar will collapse by a third

20 November 2018, 12:09 | Economy
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If the "green" will lose the status of the main reserve currency of the world, its value will fall by at least 30%. This forecast was made by the founder of the world's largest hedge fund Bridgewater Associates, Ray Dalio.. According to the billionaire, for America, this scenario will be the "worst nightmare". If the dollar loses its reserve status, it will lead to a further increase in the "triple deficit". Under this term in the United States understand the budget deficit, the trade deficit and the current account deficit. The triple shortage will soon scare off foreign buyers of Treasury bonds, which will provoke an explosive increase in their profitability and a drastic fall in the dollar exchange rate by 30%. Then the dollar will finally go into the shadows, and other currencies will take its place.. "The role of the dollar will decline, and the owners of US bonds will suffer. And then you will see the strengthening of the positions of other currencies.. Which ones? Well, this is too big a topic for the current conversation ", - said Dalio on the air of Bloomberg TV. The participants of the exchange operations founder Bridgewater Associates advised to invest in gold. You need to transfer 5-10% of your assets to a precious metal, which will be a kind of insurance against political risks.. The clear parallels between the 1930s and today show that such insurance may be needed.. Now, as then, financial markets are in the late stages of their short-term business cycle, the Federal Reserve is tightening monetary policy, and stock market quotes break all records. In addition, countries have done debt, and a simple solution to this problem does not exist, because interest rates in many countries reached a record level, and central banks have already acquired assets worth trillions of dollars.. All this means that the United States (and hence the rest of the world, too) is threatened with a global crisis.. However, if the dollar collapses sharply due to the unreasonable policy of the Federal Reserve to raise the base rate, at least this will solve the problem of rising inflation. On the eve of the experts noted that the dollar set foot on a slippery track and in the near future should expect a decrease in its value.

After yesterday's decline, the US currency has stabilized. This morning it went up by 9 kopecks against the ruble, rising to the level of 65.64 rubles (as of 11:46 Moscow time), according to the Moscow Exchange website. In the coming weeks, due to the softening of the sanctions rhetoric, the ruble has every chance to continue to strengthen against the dollar. Then this factor will come to naught, but the US currency may depreciate under the influence of internal circumstances..




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