SOME would argue that if one looks at the development of the dollar's global share as reserve currency at the central banks, then its status as the mighty and solely dominant global currency is fading out. Due to the rising inflation, it is not at all wrong to give exchange rates a thought. Differences in inflation between individual countries can, after all, be corrected via adjustments between the respective exchange rates. But when investors are, at the same time, nervous about the direction of both equities and bonds, then the latent panic can quickly transfer into the foreign exchange market - a market where crises have often taken their first steps.

The dollar's share as reserve currencies among the world's central banks has decreased during the past 25 years. Statistics from the International Monetary Fund show this development every year, so the dollar now accounts for around 60 percent of the total reserves, which is the lowest in 25 years. This seems to be one of the arguments supporting the view that the dollar is finally losing ground, but the truth is that 20 years ago, the dollar made up approximately 70 percent of the total central bank reserves. Meaning, the change in the reserves is, in fact, a very slow movement, which affects the exchange rates in a limited way.

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