USD losing reserve currency status

USD losing. 

COFER: Swiss Franc Jumps

Swiss Francs jump.

 

COFER data: USD falling

U.S. dollar drops to lowest allocation in history.

 

COFER Data Shows USD losing luster

COFER data shows the U.S. dollar is losing share. 

COFER Update

The USD is losing reserve currency status as allocations drop to 58%. 

COFER Update: USD Is Strengthening

The USD is still the world's reserve currency.

USD is losing reserve currency status - COFER

U.S. dollar dropped to 58.8%, lowest on record, as shown in COFER.

 

COFER shows USD is losing status as reserve currency

USD is losing status as reserve currency. 

USD is losing reserve currency status

The U.S. dollar is losing its status, dropping to 59% allocation.

COFER Q3 2020: USD Losing Status

The USD lost some of its reserve currency status.

 

Q2 2020 COFER Update

The latest Q2 2020 COFER numbers show that the U.S. dollar has lost some reserve currency status.

USD Reserve Currency Status Is Strengthening (COFER)

The USD is not going away soon according to latest COFER.

COFER Q3

The U.S. dollar is still the reserve currency.

Q2 2019 COFER Update

The U.S. dollar has lost some reserve currency status and is allocated at 61.6%, which is a new low in a decade. The euro has jumped up a bit to 20.3%.

COFER Q1 2019

U.S. dollar COFER composition stays at 62%.

U.S. dollar is slowly losing reserve status: COFER

The U.S. dollar is slowly losing status

Just a small update on COFER to see if the U.S. dollar is losing status: the long term trend is down, but it is still the most important currency.

 

And in more detail: 2017-2018: you can see the U.S. dollar is slightly dropping in status.

COFER Q3: Rush into USD, Fleeing Euro

The total foreign exchange holdings have grown 2% quarter over quarter to 10.8 trillion. Annualized it amounts to 8% per year (which matches the MZM increase of money supply as pointed out by Michael Pento). That also means that gold should go up 8% per year at least to match foreign exchange holdings.

Table 1: COFER Q3 2012

What's interesting to note is that people have dumped the euro ($1459 billion to $1451 billion) and bought the USD ($3613 billion to $3716 billion). The USD is still managing to preserve its reserve currency status after all. The euro did show a lot of weakness in Q3 of 2012.

Chart 1: EUR/USD

I wonder what Q4 will bring as the euro went up in terms of gold while eurobonds were increasing in value against US bonds. I also wonder what will happen next year when QE3 is going to be implemented. Will they flee the USD and the Japanese yen?

Chart 2: Foreign Exchange Reserves

Euro Selling Has Stopped

The new numbers of the Currency Composition of Official Foreign Exchange Reserves (COFER) have been released and it shows that the the world has stopped selling euros (Table 1). Claims in euros have increased from $US 1.413 trillion to $US 1.423 trillion, an increase of 0.7%. Claims in U.S. dollars have increased from $US 3.513 trillion to $US 3.548 trillion, an increase of 1%. Interestingly, the increase in U.S. dollar claims is flattening out as compared to previous quarters, indicating U.S. dollar weakness.

In the previous three quarters, the claims in euros had been going down ($US 1.472 in Q2 2011 to $US 1.438 in Q3 2011 to $US 1.413 in Q4 2011). But that decline has stopped for now. I believe this reversal means that it's time to start buying into the euro again in the short term.

Table 1: Currency Composition of FOREX Reserves

To read the full analysis, go HERE.