Bloomberg spoke about the end of the «tyranny» of the dollar

CC0 / qimono / puzzle in the form of 100-dollar billsBloomberg spoke about the end of the «tyranny» of the dollarCC0 / qimono /

The hegemony of the dollar began to collapse, and the world leaders who previously found the situation of Affairs, is now seeking to abandon the dollar, says Bloomberg.

So, the President of the European Commission Jean-Claude Juncker in September called «absurd» a situation where Europeans are forced to buy their goods for dollars, and French Finance Minister Bruno Le Mayr openly stated that they want to be «completely independent» from U.S. financial instruments, reminds Agency.

Russia, says Bloomberg, reducing its dollar assets because of the increasing risks in international transactions, and China will challenge the dominance of the American currency on world energy markets, concluding contracts in yuan.

Such a change in the balance of power — the bad news for the United States, says the author of the material. The immediate risk to the dollar is to use the U.S. policy of financial sanctions, including against its allies in the world, specifies Bloomberg.

EU leaders in response to the encroachment on their economic sovereignty openly working on a payment system that would enable European companies to do business with the sanctioned countries without the risk of retaliation from the United States, says the Agency.

Even if Europe in the near future will not solve the issue with bypass us sanctions, the desire for it to be regarded as part of a broad dissatisfaction with the dominance of the dollar, which only increases indicated in the article.

According to Bloomberg, currently one of the main advantages of the dollar is the weakness of competing currencies: the Eurozone is experiencing a number of problems, and yet China is wary of the issue of openness of capital flows and global trade.

The relationship between the US and the EU deteriorated amid Washington’s nuclear deal with Iran, and the imposition of trade tariffs on steel and aluminum, as well as threats in connection with the sanctions against Iran and the European companies.

In turn, Russia is seeking to de-dollarize the economy, actively buys gold and sells U.S. government bonds.

Well as the growing trade war between Beijing and Washington, China has also reduced investments in us government debt at 7.7 billion dollars — to a minimum over the last six months.

Bloomberg spoke about the end of the «tyranny» of the dollar© Vitaly Podvecer for money