Don’t worry, renminbi happy

Previously, the volume hadn’t topped $117 billion monthly, but analysts say the Iran war has stoked the use of China’s currency by oil exporters like Russia and Iran, who are seeking to avoid US sanctions. While the trend does reflect a slight erosion of the dollar’s international dominance, something we’ve been keeping our eye on, it’s worth keeping things in perspective: the greenback is still used in roughly 90% of all cross-border transactions and nearly 60% of global foreign exchange reserves. As Ian Bremmerexplained recently, there’s one reason the dollar is unlikely to be replaced as the world’s global reserve currency: TINA, or, There Is No Alternative.