Dollar to hit 50 Yen next year

The dollar may drop to 50 yen next year and eventually lose its role as the global reserve currency. According to Japan’s Mitsui Bank report, “The dollar’s fall won’t stop until there’s a change to the global currency system, the US economy will deteriorate into 2011 as the effects of excess consumption and the financial bubble linger”. The dollar last week dropped to the lowest in almost a year against the yen while the gauge is about five points away from its record low in March 2008, and the dollar is 2.5 percent away from a 14-year low against the yen. It is also said in the report that Dow Johns Industrial value will sink below at 7,000 points. Major countries this year called for a replacement to the dollar as the main reserve currency.