Though US Dollar is the supreme and default currency, it is loosing supremacy.
Central banks keep two-thirds of their reserves in dollars. Oil, gold and most farm products are all priced in dollars. But USD is facing serious threat from infant Euro.
At the end of last year, the euro quietly reached a key milestone. The value of all euro notes in circulation exceeded the value of all dollars for the first time — $828-billion (U.S.) to $753-billion. The euro has displaced the US dollar as the world’s pre-eminent currency in international bond markets, having outstripped the dollar-denominated market for the second year in a row. Outstanding euro-denominated debt accounts for 45 per cent of the international - or cross-border - market, compared with 37 per cent for the dollar. New issuance last year accounted for 49 per cent of the global total. Outstanding euro-denominated issuance represented just 27 per cent of the global pie, compared with 51 per cent for the dollar.
The dollar is slipping due to runaway spending by both political parties, unsound lending practices by US banks and the Federal Reserve, a trade policy that has consistently stripped the US of wealth and jobs in every year since 1961, and an education policy that has created millions of ignorant serfs who cannot compute basic mathematics, who do not know their history, and whose knowledge of the Constitution is limited to "the Constitutional separation of church and state" which is not actually in the Constitution. In a nutshell, the country is being run by people who are elected by stupid people. And the dollar is predictably hurting.