IMO, the USD has been overdone with this current bout of QE (printing) and add to that, the US moves from globalisation to favour bilateral trade deals has motivated others to do so too enabling China & others to cut direct currency trade deals thereby dealing out the USD out of transactions.
Some of our China iron ore deals have already transitioned away from the USD by setting contracts in AUD/Rinimbi.
There has been rumours that the EC/China deal at Xmas also features such direct deals.
IMO, the USD should move back towards mid 80s against the index over the next 2years
