Slow Death... The Dollar Is Dying
The weakening dollar is dying a slow death... ~ Video
“It’s clear where we’re headed,” says Niall Ferguson, author of The Ascent of Money. “Ten years from now there will be more than one international reserve currency,” he tells Tech Ticker.
Ferguson dismisses the dollar loyalists, citing the British pound – the last international reserve currency – as his example. “These things don’t last forever” but don’t expect it to happen overnight. “It’s a long multi-decade process,” he states. Even with the dollar near a 14-month low against the Euro, he claims it’s not without historical precedence for the greenback to lose “another 20%” this year.
For international investors the loss is enough to offset this year’s stock market gains. Not exactly great motivation for foreigners to keep buying the almighty dollar.
SEE VIDEO HERE
Peter Gorenstein - October 21, 2009 - posted at PuppetGov
Editor’s note: The accompanying video was taped last week at The Economist’s Buttonwood Gathering. See below for additional coverage and stay tuned for further segments:
- Current Market Boom “Can’t Be Trusted,” Robert Shiller Says
- Robert Shiller: We Could Have Another Housing Boom, But I Doubt It
- A ‘Remarkable’ Gathering: Soros and Roach and Geithner, Oh My!
- Exit Strategies: Worry More About Uncle Sam, Less About Uncle Ben
- “Astonishing” Big Banks Are Taking Taxpayer Money, Writing the Rules, Warren Says
- Elizabeth Warren: Housing Market Getting Worse, Not Better
- Wall St. Is Winning: Elizabeth Warren “Speechless” About Record Bonuses