We don’t know which direction the exchange rate of fiat dollars will go against other fiat currencies. We do, however, have a pretty good idea what direction the price of gold denominated in dollars will go: up. From Mike Whitney and Paul Craig Roberts at unz.com:
Question 1– To what extent has the war in Ukraine accelerated the move to a new global realignment?
Paul Craig Roberts– It was Washington’s economic sanctions against Russia, the theft of Russia’s central bank reserves, and the theft of Venezuela’s gold, not the conflict in Ukraine, that weaponized the US dollar and resulted in global realignment.
The limited Russian intervention in Donbas was Putin’s belated eight-year-delayed response to the US coup that overthrew the government of Ukraine in 2014 and installed a government hostile to Russia and to the Russian population that had been incorporated into the Ukraine province of the Soviet Union by Soviet leaders. The intervention was forced on Putin by the United States’ buildup of a large Ukraine army poised to overthrow the self-declared Donbas republics.
By habit and convenience, the US dollar is used as world money to settle imbalances in international trade, but the sanctions woke the world up to the risks of using the dollar. Consequently, the BRICS suddenly expanded with membership extended to Argentina, Egypt, Iran, Saudi Arabia, and the United Arab Emirates. The organization now contains essentially the entirety of world oil production and 40-45% of World GDP.
Clearly, a realignment has already occurred.
