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Dollar in sentence

3262 examples of Dollar in a sentence

The dollar will remain important for many countries as a vehicle for intervention in foreign-exchange markets, as well as for invoicing and for denominating internationally traded securities.
If Trump is wondering why so many currencies are weakening against the dollar, perhaps he should look at his own actions over the last five months.
Because the dollar is no longer pegged to gold and is an international reserve currency, the US can sustain its trade deficit by printing more dollars to support imports.
The Fed is already allowing some tightening simply by not playing along, and letting the US dollar appreciate.
One of the big ones in the circles I frequent is dollar weakness.
Between January 2017 and January 2018, the broad effective exchange rate of the dollar fell by 8%, wrong-footing many of the pundits.
Tax cuts and interest-rate normalization, I expected, would shift the mix toward looser fiscal and tighter monetary policies, the combination that drove up the dollar in the Reagan-Volcker years.
Tax changes encouraging US corporations to repatriate their profits would unleash a wave of capital inflows, pushing up the dollar still further.
The most plausible such offset was, of course, appreciation of the real exchange rate, which could occur only through inflation or, more plausibly, a stronger dollar.
The most popular explanation for dollar weakness is that Trump, through incompetence or misdirection, failed to deliver what he promised.
Other things equal, these developments should have propped up the dollar.
The dollar weakened, in this view, because the Fed fell behind the curve and risked losing control of the inflation process.
And if higher interest rates are good for one thing, they’re good for the dollar.
Beyond this, there are at least 17 other narratives to explain dollar weakness.
Investors traditionally flock to the dollar not simply because it is stable, but also because it tends to strengthen in a crisis, given that its issuer has impregnable defenses and possesses the deepest and most liquid financial markets in the world.
More chaos in the White House would only depress the dollar further.
It may be indicative that on March 1, when Trump announced his steel and aluminum tariffs and the stock market tanked, the dollar strengthened.
The 20% revaluation of the renminbi against the US dollar in 2005-2008 undoubtedly facilitated this in the case of recipient countries whose currencies did not also appreciate against the dollar.
This is precisely what happened in Japan after the yen was revalued by over 50% against the dollar between 1985 and 1987, following the Plaza Accord.
The US and Japan might be among the last to face the wrath of the bond-market vigilantes: the dollar is the main global reserve currency, and foreign-reserve accumulation – mostly US government bills and bonds – continues at a rapid pace.
But if the US does use the inflation tax as a way to reduce the real value of its public debt, the risk of a disorderly collapse of the US dollar would rise significantly.
America’s foreign creditors would not accept a sharp reduction in their dollar assets’ real value that debasement of the dollar via inflation and devaluation would entail.
A disorderly rush to the exit could lead to a dollar collapse, a spike in long-term interest rates, and a severe double dip recession.
Put another way, each extra dollar spent increasing defensive measures will achieve – at most – about 30 cents of return.
I have also argued, based on a model of mine, that as the return of a strong dollar by early 2015 threatened to inundate American markets with imports, firms became scared to supply more output at the same price.
Little wonder: perhaps more than ever, the US dollar lies at the heart of the global financial system.
This is partly because much of world trade and finance is indexed to the dollar, leading many countries to try to mimic Fed policies to stabilize their exchange rates.
It is important to note, however, that meeting “all existing criteria” does not place the renminbi on par with, say, the US dollar – or, indeed, with any of the other SDR currencies (the euro, the British pound, or the Japanese yen) – in terms of international usage.
By moving away from the renminbi peg to the US dollar – an undoubtedly risky move – China demonstrated its willingness to allow market forces to establish the exchange rate in the long term.
But even at that level, the renminbi could be the world’s third reserve currency, after the dollar and the euro, by 2030.
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