As early as next year, the dollar could depreciate rapidly in relation
to all major world currencies , then it will lose its status as an international
reserve currency, says chief strategist at Sumitomo Mitsui Banking Corp.
Daisuke Uno .
"The state of the U.S. economy will worsen in 2011 due to the effects of excess
consumption and the continuing financial market bubble. Weakening of the dollar
will not stop until until you change the system of world currencies, "- said
strategist third largest bank in Japan. See also: The dollar continues to
fall on the interbank market last week the dollar fell against the yen to its lowest point
for the year due to the fact that the record of the U.S. government loans and above zero
Fed rates dropped the demand for U.S. currency. The dollar index, which
shows the ratio of the dollar to six major currencies, fell
for the year to 15% and came close to the 14-yearly minimum. "We have more
there are no opportunities to stem the tide of dollar weakness. Lower limit is not
will be, and even coordinated intervention will not help ", - says the strategist.
Recall Daisuke Uno predicted that the dollar falls below 100
yen and the index Dow Jones Industrial Average dropped below 7000 after bankruptcy
Lehman Brothers. China, India, Brazil and Russia this year is called
to replace the dollar as the main reserve currency. The deputy head of Iran's
CBA Gazavi Hussein September 13, said that the euro took place dollar
as the main currency in international reserves of the bank. According to Uno,
dollar is now completing a super-cycle, which began in August 1971 is now
the dollar is the fifth wave of 40-year cycle Elliott. The U.S. currency
fell to 92 yen in March 1973 Based on this theory, Daisuke
Uno predicts that during the current wave of dollar falls to 50 yen.
Further weakening the U.S. currency will lead to further appreciation of
gold and oil.