[GeorgefromGeorgia]

The US Dollar is the currency of choice in many places in the world where the local currency lacks some confidence. I understand from Russians that I know that most Russians keep their "cash" savings in dollars. This is true in many third world countries.

The point was made in earlier comments about the rate of return being higher on dollars. That is only one element. Euros are still suspect, since there are several EU countries that are considering withdrawing from the Euro. Italy is the most notable country.

Also, the US economy is the train driving the world economy. Socialist Europe (except for UK, Ireland and a few others) are not expanding due to their hidebound policies.

[posterchild]

The US Dollar is the currency of choice in many places in the world where the local currency lacks some confidence.
I spent most of 1996 on business travel in Europe. There were frequent commercials on TV which showed the new US hundred dollar bill and an explanation that the appearance of the bill was changing but that both the old and new designs were still valid currency. I also remember hearing at the time, though could have been urban legend, that 2/3rds of US hundred dollar bills were physically in Russia.