U.S. Dollar and Forex Trading

229622 Resource 128460 120646 120646 1238514988537 1238514988537 Controlled World Bank to Create $50 Billion Trade Fund -- U.S. Dollar Not Threatened

No real threat to the U.S. dollar as the world's reserve currency?

The news ahead of the G20 summit later this week is all about a proposal from China -- and backed by Russia -- to create a <a href="item/229263" target="_blank" title="World Bank, reserve currency, FX, forex trading, U.S. dollar, dollar reserve currency, SDRs">new reserve currency system</a> in the form of special drawing rights on the IMF. However, despite all of the play it is getting, the idea hasn't been well-received by most of the economically developed nations. At any rate, reports FX Street, <a href="http://www.fxstreet.com/fundamental/market-view/currency-currents/2009-03-31.html" target="_blank" title="World Bank, reserve currency, FX, forex trading, U.S. dollar, dollar reserve currency, SDRs">the U.S. dollar is likely safe as the world's reserve currency</a>: <blockquote> There looks to be little, if any, credible threat to the US dollar’s status as world reserve currency. Even if talk on SDRs does gain momentum at or after the G20, there’s still little chance of dethroning the dollar without more detailed proposals with legitimate World Bank President Robert Zoellick said recently, "to create a reserve currency you need to have more than a summit or a meeting, you have to create financial markets where people feel comfortable moving in and out of the currency." </blockquote> Even though World Bank is planning to create a $50 billion trade fund, it is unlikely to have any sort of impact on reserve currency status. It is merely something designed to help ease the flow of money through the global financial system. 9 application/xml false dollar reserve currency forex trading FX reserve currency SDRs U.S. dollar World Bank U.S. Dollar and Forex Trading FX market and world currencies http://www.fx360.com/?aid=5704 Mozilla/5.0 (Macintosh; U; Intel Mac OS X 10.5; en-US; rv:1.9.0.8) Gecko/2009032608 Firefox/3.0.8 127.0.0.1 127.0.0.1 mmarquit 66.182.66.2 false true false false true 128460 blog blogsite/GFTForex/web