While the U.S. dollar has been extremely robust in recent times, compared to a myriad of fiat currencies worldwide, a number of analysts and economists think the greenback will eventually falter in an inconceivable manner. The owner of aheadoftheherd.com, Richard Mills, published a comprehensive research post on Wednesday called “Walking Dead U.S. Dollar,” warning that “we are rushing headlong into a U.S. dollar crisis of epic proportions.” The investor thinks that within the next five years, the greenback could very well “lose its status as the world’s reserve currency.”
Richard Mills Discusses the Dollar Losing Its ‘Exorbitant Privilege’
If you are acquainted with the financial world, then you probably know that the U.S. dollar has been on a tear and Richard Mills, the investor and owner of aheadoftheherd.com, doesn’t think the greenback’s bull run will last. During the first week of October, the U.S. Dollar Index (DXY) recorded a brief dip after reaching a 2022 high, above the 114.000 region on September 27.
On October 20, 2022, the DXY has been coasting along between the 112.000 and 113.000 region, after some range-bound action during the last 48 hours. Comparing the U.S. dollar’s value to a variety of fiat currencies like the yuan, yen, pound, euro, and the dollars of Canada, Hong Kong, and Australia highlights the significant losses these currencies have seen over the last six months.
The blog post written by Mills and published on aheadoftheherd.com explains how the dollar is doing so well, the last six months of rising interest rates, and how short and long-term U.S. Treasury note and bond markets have shown erratic behavior.
“Rising interest rates have put upward pressure on the dollar, as foreign investors pour capital into the country,” Mills’ blog post details on October 19. “The dollar has also done well because the U.S. economy is perceived to be stronger than Europe’s, which is suffering from an energy crisis. On Aug. 22 the euro fell to a two-decade low of 0.9903 against the dollar. The New York Times stated in July that the dollar is the strongest it’s been in a generation, citing safe haven demand, inflation, higher interest rates, and worries over growth as factors.”
Akin to most of the blog posts on aheadoftheherd.com, the article called “Walking Dead U.S. Dollar” is…
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