Azerbaijan, Baku /corr. Trend A.Badalova / Weakening of the USD rate leads to the decrease of the share of the USD assets in the gold and foreign currency reserves, said the analyst of the Investment Company Antanta Capital, Maxim Osadchi.
"The decrease of the USD rate launches the mechanism of the efficiency of the domino: decrease of the USD rate - fall of the dollar assets - decrease of the USD rate," the analyst said.
Since the beginning of 2007 the USD rate decreased by 10%. This year, the EUR increased by 12.5% compared to the USD. On 28 November, the USD rate decreased by 0.35% compared to yen, Reuters reports.
In addition, according to the analyst, the drop in the USD rate results from the smoothing in the foreign-trade balance of the USA - decrease of the import and increase of the export which will bring to the increase of the USD rate in the long-term outlook.
According to the analyst, the deficit in the accounts of the current operations - difference between the export and import of the USA - also adversely affects the USD rate. The analyst said that the threats of slump in the US economy make the US Federal Reserve System decrease key rates and it also weakens the USD rate.
"The European central bank should give reaction to the threats of inflation in the conditions of the satisfactory economic growth of the European zone. Probably the cycle of the increase in the rates of the European central bank has not concluded yet and it brings to the raise of EUR," he said.
"Thus, the macroeconomic opportunities create at least medium-term exchange trend of the USD," the analyst said.