The dollar is literally crushing the currencies of the union

BRICS initiated the de-dollarization program to reduce the global reserve status of the US dollar and replace it with local currencies.

China and Russia have launched a global campaign to persuade developing countries to use local currencies for trade rather than the US dollar. Their efforts have paid off as several developing countries are now considering the de-dollarization initiative to support their local currencies.

Another reason why the de-dollarization program is gaining momentum is the imposition of sanctions by the US on developing countries.

However, the de-dollarization initiative ran into difficulties as the US dollar strengthened against all local currencies of the BRICS countries. The DXY index, which measures the strength of the US dollar, shows the currency trading around 106.27. This is a significant increase from its lowest level of 101.8 points in January this year.

The US dollar outperforms all the currencies of the BRICS countries, occupying the leading position in the foreign exchange market.

First, the Chinese yuan fell to a five-month low against the US dollar and is currently at 7.24.

Second, the Indian rupee hit an all-time low against the US dollar at 83.63 points earlier this week. However, on Friday it briefly rose to 83.54. Finally, the Russian ruble fell below 100 against the dollar and is now at 94.15.

The US dollar also weakened the Japanese yen, pushing it to its lowest point since 1990. The Japanese yen is the weakest currency among them all and struggles to compete with the US dollar. The strong dollar also depreciated the British pound, taking it to 1.25, a four-month low.

In conclusion, it can be said that the US dollar is adversely affecting all local currencies of the BRICS countries despite the growing threats of de-dollarization.