Expect the economy to settle into its long-term growth rate of around 1.8% next year. Read our forecasts for growth, inflation, unemployment, the dollar, interest rates and fiscal policy. … READ MORE >
U.S. dollar
Dollar ascendant? Why the dollar’s dominance will not fade.
The idea that the global economy can be organized around another currency seems out of place given the dollar’s ascendancy over the past 10 years during a period of uncertainty. … READ MORE >
Why the dollar remains the world’s reserve currency, and will stay that way
We find the recent discussion around the end of the dollar dominance bereft of any linkage to the reality of international finance. … READ MORE >
As turmoil grows, foreign banks and investors flock to the dollar
Whether it is the purchase of short-term Treasury notes, deposits in U.S. financial institutions or a use of the Fed’s overnight reverse repurchase facility, investors are in a flight to safety … READ MORE >
As the U.S. dollar surges, the potential for a currency crisis grows
As central bankers and fiscal authorities seek to balance growth, inflation and financial stability, there is a growing possibility that we are walking into another financial crisis. … READ MORE >
Japan intervenes in the currency market
With the yen in freefall, Japan on Thursday took the unusual step of intervening in currency markets to prop up its value. … READ MORE >
The return of king dollar: The greenback in an era of inflation
The return of inflation, interest rate differentials and a quickly changing geopolitical landscape are the primary catalysts behind the recent surge in the value of the American dollar. … READ MORE >
Why the U.S. dollar is strengthening
Policy by the central bank, interest rate differentials and a risk haven move into U.S. dollar-denominated assets are driving up the dollar against major trading currencies. … READ MORE >
CHART OF THE DAY: Foreign investment in U.S. securities rebounds
The latest data from the Treasury International Capital System indicates a 65% increase in net foreign long-term portfolio investment in U.S. securities compared to the imposition of tariffs on China in July 2018, and a 138% increase since February 2019, the month before the pandemic. … READ MORE >