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>>> Russia, Ukraine, and a Turning Point for the U.S. Dollar


Bloomberg

By Elisabeth Ponsot

March 2, 2022


https://www.bloomberg.com/news/newsletters/2022-03-02/big-take-how-will-the-russia-ukraine-war-impact-the-u-s-dollar


As fighting escalates in Ukraine, Russia has intensified capital controls to prevent a fund exodus. Officials banned residents from transferring foreign currency abroad. In response to sanctions, the central bank also slapped a temporary freeze on sales of Russian securities by foreigners, seeking to close the exit for tens of billions of dollars.

The impact on Russia’s ruble has been swift, with the currency continuing its record slide. But ongoing tensions could also mark a turning point for the U.S. dollar, according to money market guru Zoltan Pozsar.

Pozsar says that wars tend to turn into major junctures for global currencies. With Russia losing access to its foreign currency reserves, a message has been sent to all countries that they can’t count on these stashes to actually be there in a crisis.

It could mean the beginning of the end for the global dominance of the U.S. dollar.

Read The Big Take.

From today's story
on the “weaponization” of money.

"China will make it a priority to need no USD before going for Taiwan. It's a turning point in monetary history."

— Dylan Grice

Founder, Calderwood Capital

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