Rabobank's Senior FX Strategist Jane Foley has examined the evolving structural themes of de-dollarisation alongside the near-term dynamics of the US Dollar. Her analysis comes in the wake of April 2025 tariffs, which notably failed to prompt the typical safe-haven demand for the Dollar and US Treasuries, according to FX Street.
Foley's insights underline a growing debate about the US Dollar's role as the global reserve currency, intensified by the lack of traditional safe-haven flows during this period. This development signals potential shifts in international currency preferences and strategic reserve allocations.
For Japanese market participants, understanding these de-dollarisation trends is critical as shifts in the US Dollar's status can influence FX volatility and portfolio strategies, especially given Japan's significant exposure to global trade and currency markets.