Short-term and long-term forecasts for the US dollar are becoming gloomier and gloomier. Moreover, analysts will hardly make any positive predictions.
Ulf Lindahl, the chief investment officer of currency manager A.G. Bisset, believes that the US currency will plunge by 36% as early as next year. Notably, the greenback has already lost 11% since the beginning of the year. Ulf Lindahl is sure that the currency has not reached its limit and it may slump to “the levels it has not seen in more than a decade”. He also supposes that investors should sell off the US dollar. The fact is that the dollar will lose in value even if the worst predictions do not come true.
Various factors are weighing on the US dollar. The US economic and political problems have an extremely negative influence on the national currency. Thus, the US GDP plunged by a record 40% in the second quarter of the year. Moreover, the Fed’s monetary policy does not provide any real support to the country’s economy. At the same time, numerous sanctions imposed on most countries have significantly undermined confidence in the dollar. So, investors will hardly pump money into the shaky asset.
