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> but it is likely that the USD will lose reserve currency status To what though? Even if we accept the US and USD have issues, there is no other currency even

by matwood 1mo ago

> but it is likely that the USD will lose reserve currency status To what though? Even if we accept the US and USD have issues, there is no other currency even close to be able to step in.

cjs_ac 1mo ago
To all the other currencies that are currently used as reserve currencies, other than the US dollar. There has never been a single reserve currency in the world.
mikewarot 1mo ago
It doesn't matter who/what gets it next, what's important is that we're about to take a 60-80% haircut on our standard of living. It's what happened to the British when the lost it with the Pound Sterling, and now it's our turn. Most people don't remember what hard money is, and why it's important.[1] [1] https://en.wikipedia.org/wiki/Hard_money_(policy) https://en.wikipedia.org/wiki/Hard_money_(policy)
- toomuchtodo 1mo ago
  To Hedge or Not to Hedge? Lessons from History for US Equity Investors - https://www.msci.com/research-and-insights/blog-post/to-hedge-or-not-to-hedge-lessons-from-history-for-us-equity-investors https://www.msci.com/research-and-insights/blog-post/to-hedg... - October 3rd, 2025 The Depreciation of the Dollar - https://www.morganstanley.com/insights/articles/us-dollar-declines https://www.morganstanley.com/insights/articles/us-dollar-de... - August 6th, 2025 Key takeaways: * The value of the U.S. dollar against other currencies dropped about 11% in the first half of this year, the biggest decline in more than 50 years, ending a 15-year bull cycle. * Morgan Stanley Research estimates the U.S. currency could lose another 10% by the end of 2026. * Despite a recovery of 3.2% in July, the delayed impact of tariffs on growth and unemployment – besides policy uncertainties – are likely to keep negative pressure on the dollar. * Foreign investors have been adding hedges to their exposure to U.S. assets, which will likely further weaken the dollar.

by matwood 1mo ago

> but it is likely that the USD will lose reserve currency status To what though? Even if we accept the US and USD have issues, there is no other currency even close to be able to step in.

cjs_ac 1mo ago

To all the other currencies that are currently used as reserve currencies, other than the US dollar. There has never been a single reserve currency in the world.

mikewarot 1mo ago

It doesn't matter who/what gets it next, what's important is that we're about to take a 60-80% haircut on our standard of living. It's what happened to the British when the lost it with the Pound Sterling, and now it's our turn. Most people don't remember what hard money is, and why it's important.[1] [1] https://en.wikipedia.org/wiki/Hard_money_(policy) https://en.wikipedia.org/wiki/Hard_money_(policy)

toomuchtodo 1mo ago
To Hedge or Not to Hedge? Lessons from History for US Equity Investors - https://www.msci.com/research-and-insights/blog-post/to-hedge-or-not-to-hedge-lessons-from-history-for-us-equity-investors https://www.msci.com/research-and-insights/blog-post/to-hedg... - October 3rd, 2025 The Depreciation of the Dollar - https://www.morganstanley.com/insights/articles/us-dollar-declines https://www.morganstanley.com/insights/articles/us-dollar-de... - August 6th, 2025 Key takeaways: * The value of the U.S. dollar against other currencies dropped about 11% in the first half of this year, the biggest decline in more than 50 years, ending a 15-year bull cycle. * Morgan Stanley Research estimates the U.S. currency could lose another 10% by the end of 2026. * Despite a recovery of 3.2% in July, the delayed impact of tariffs on growth and unemployment – besides policy uncertainties – are likely to keep negative pressure on the dollar. * Foreign investors have been adding hedges to their exposure to U.S. assets, which will likely further weaken the dollar.