JP Morgan Warns of Looming US Dollar Crisis, Urges Investor Hedging
JP Morgan's latest research paints a concerning picture for the US dollar, with year-to-date declines of 9.0% signaling deeper structural vulnerabilities. The DXY index's five-month slide - an anomaly for the world's reserve currency - coincides with Asian currencies gaining 4.1% in regional trade-weighted measures.
Analysts highlight a rare 'triple threat' scenario where US equities, bonds, and the dollar MOVE in synchronized decline. This convergence has triggered portfolio reassessments across institutional investors, with de-dollarization trends gaining traction in global markets.