Dollar faces risk of change

Today's viewpoint Comment as the global economy and financial markets recover, investors are re-examining the dollar's position in the global financial system. Observers believe the dollar's "unconventional strength" over the past year is being tested as the world's economic panic fades, international commodity prices rise and investors ' expectations of inflation rise.　　At the same time, the dollar may be saying goodbye to its heyday in the context of a further rise in the international status of the renminbi and a "diversified restructuring" of the global monetary system. Since the start of the financial crisis, the dollar has been standing in the global financial market as a strong currency, and in July 2008 after the latest round of strong upward. In the meantime, the dollar index rose from around 70 and reached a 89.62-point high of nearly 3 years on March 4 this year. In the context of the global spread of the financial crisis, investors ' fear of the economic outlook and strong demand for hedge funds have helped push the dollar up. Despite the sound of empty dollars in the US economy during this period, the fact that even the Fed's "Water injection" campaign earlier this year did not stop the dollar from rising.　　However, recent international currency markets have shown that the dollar's "unconventional strength" situation is changing. The dollar index, which hit nearly 3-year highs on March 4, has been sluggish for nearly two months. Since late April, the dollar index has continued to decline in international foreign exchange markets, creating a 81.87-point low of nearly 4 months on May 13. Meanwhile, the news that the eurozone economy tumbled in the first quarter over the weekend did not give a substantial boost to the dollar. In the meantime, commodity prices, represented by international crude oil, rose sharply, and international gold prices also frequently hit earlier highs. Against the backdrop of a weakening investor panic and a gradual recovery in the global economy and financial markets, the risk aversion of the dollar continues to weaken, in response to a rise in investor appetite for risks and a warming of inflation expectations. A rebound in commodity prices and rising inflation expectations are bound to have a big impact on the strength of the dollar in the last year, A02. The dollar's attractiveness to global investors has also diminished after the first wave of panic that the financial crisis has eased. From the fundamentals of the U.S. economy, the US recovery will face a slow, uncertain process in the aftermath of a devastating financial crisis.　　In contrast to other economies, recent data on the manufacturing index, unemployment rate and new house start rate in the United States are barely passable and have no significant economic fundamentals. At the same time, after the financial crisis, the reform and restructuring of the international monetary system is becoming the consensus of all markets. The dollar's dominance in the current monetary system is clearly no longer as solid as it was before the financial crisis, although there is still considerable resistance and difficulty in building a new global monetary system. With the further development of RMB internationalization, the global monetary system is facing "manyIn the future international monetary system, the dollar is a single show of the situation or will change.