🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

U.S. dollar share of global currency reserves rises in fourth quarter: IMF

Published 03/31/2017, 01:05 PM
© Reuters. FILE PHOTO: U.S. dollar notes are seen in this picture illustration
DX
-
DXY
-

(Reuters) - The dollar's share of currency reserves reported to the International Monetary Fund rose in the fourth quarter, snapping three straight quarterly declines, as the absolute level of reserves held in greenbacks hit a record, data released on Friday showed.

The dollar's share of allocated currency reserves, or those reported to the IMF, rose to a record $5.05 trillion in the October-December period, or nearly 64 percent, according to the data. That was up from the third quarter, when the dollar's share hit its lowest in two years at $4.94 trillion, or 63.3 percent.

Meanwhile, China's share of allocated currency reserves, reported by the IMF for the first time, totaled just over 1 percent, or $84.51 billion.

The euro's share fell to 19.7 percent to mark its lowest in a year, from 20.2 percent in the third quarter, while the yen fell to 4.2 percent in the fourth quarter from 4.4 percent in the third quarter. The yen's latest share of currency reserves was the lowest since the first quarter of 2016.

Total foreign exchange reserves worldwide fell to $10.8 trillion from $11.06 trillion in the third quarter, according to the IMF data. The total amount of allocated currency holdings rose to $7.9 trillion from $7.8 trillion previously.

The dollar's value has surged since Donald Trump's victory in the Nov. 8 U.S. presidential election, which led investors to expect U.S. inflation will accelerate.

© Reuters. FILE PHOTO: U.S. dollar notes are seen in this picture illustration

The dollar index (DXY), which measures the greenback against a basket of six major rivals, rallied 7.1 percent in the fourth quarter to notch its strongest showing since the first quarter of 2015.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.