Russia’s largest reserve currency holding is the Euro which accounts for a third of all reserves. Gold is the second largest, and the US Dollar is the third largest. Chinese Yuan comprises about 12%.
There is absolutely no relevance between any of this and the ability of the US to continue to fund itself. Gold is a commodity, not a currency, and it is likely to appreciate in the wake of the prolific doom and gloom messaging surrounding the dollar.
Also, why would Russia hold any more dollars than it anticipates needing while America shows signs of wanting to sanction it? It does considerably more commerce with the EU nations than it does with those using the dollar, so why would it not want to hold Euros over dollars?
To pay for its COVD-19 response in 2020, the US government spent $4 trillion. That amount is greater than the GDP of any country except for the top three: the United States, China and Japan.
Stop with the fear porn. Throwing big numbers around without relevance is dishonest. Money injection should be the response expected of a government concerned about its people and the future of the economy. That money shored up a supply chain that was made fragile because of capitalism's love of "just in time" nonsense.
The only force holding the US Dollar from crashing and causing hyperinflation is its global demand.
This is pure BS. It is the strength and productivity of the US economy that creates an international desire for US dollars. Those dollars can only be produced by the same Congress you wish to reprimand for its spending. Pick a side, please.
If there is a harbinger of doom looming over the US economy it is the reluctance of Congress to invest in its future stability and the infrastructure that enables it. The current trend to depend upon "market solutions" to keep the economy growing means that the economy is financialized by bank debt that requires deficit spending in Congress to net retire. That is how economies falter and require even more massive spending when they need to be bailed out.
Without the demand for US Dollars from foreign countries, the US economy and its practice of massive money printing would collapse.
More BS. The US dollar is a sovereign free-floating currency that is not dependent upon any external source for funding. Those who hold US dollars do so because they do business in the US and dollars only exist in the US banking system. They choose to buy our Treasury instruments to make additional dollars from otherwise non-productive reserves.
The Federal Reserve also offers a free clearing bank for payments in US dollars, which is a considerable attraction to investors. The system established by Bretton-Woods worked very well and was simply continued voluntarily after the agreement was ended. If that system is destabilized it will be because the US is too quick to resort to economic blackmail via sanctions, not anything to do with its current or past revenue position in relation to its spending.
The era of the US dollar’s ‘exorbitant privilege as the world’s primary reserve currency is gradually coming to an end.
Whether you are simply ignorant or dishonest makes little difference. I, for one, don't appreciate the constant denigration of the US spending on its citizens and the public purpose. Whatever you are pushing with this tactic I want no part of. A fool and his/her money shouldn't have gotten together in the first place, so I'm sure it is rewarding you. I would, however, suggest that you learn a smattering of correct information about the country and system you are so quick to put down.
