FX.co ★ US dollar to maintain its dominance over global markets

Experts continue to closely monitor the dynamics of the US dollar. In recent times, the currency has been trading under downward pressure from a number of factors. Nevertheless, analysts agree that they cannot subdue the greenback. Apparently, the American currency will play a leading role in the world financial system for years to come.

Independent observers emphasize that since its creation, the dollar has been subjected to repeated attacks of all kinds. Some countries even imposed a complete ban on using US dollars. However, even such a harsh policy towards the currency failed to bring about the expected results. People around the world continue to trust the greenback.

The major cause for its strength has remained unchanged since it was first described by economist Richard Cooper back in 1973. He predicted that the struggle to find acceptable ways to rein the dollar in would continue, but would eventually fail. "The basic reason for this forecast is simple: there is at present no clear, feasible alternative," he said.

Although some economic processes are aimed at reducing the dollar's hegemony, the greenback still dominates currency markets. For several years, Russia and China have been developing alternative payment mechanisms to replace the dollar-dominated systems. In European countries, the authorities are calling to boost the bloc's strategic autonomy. However, their attempts to erode the dollar's dominance continue to prove fruitless.