Concerns over the future of the U.S. dollar took center stage during the Portsmouth Supplemental Retirement Board meeting on November 2, 2023. A board member raised a pressing question about the growing trend of other nations forming alliances to create their own currencies, potentially undermining the dollar's value. This inquiry sparked a robust discussion among board members about the implications for the U.S. economy.

Experts at the meeting reassured attendees that despite these global shifts, the U.S. dollar remains strong, currently valued at a 15-year high against other currencies. They emphasized that the dollar is still viewed as the safest store of value worldwide, even amid rising national debt. One board member noted, “There’s no evidence that the dollar is being replaced by cryptocurrency or any other currency at this point.”

However, concerns lingered about the sustainability of U.S. debt levels, which are significantly higher than those of many smaller countries. The discussion highlighted the importance of the dollar's role in international trade, particularly in oil transactions, which continues to support its status as the world's reserve currency.

As the meeting progressed, the board shifted focus to portfolio performance, indicating a challenging quarter ahead. The discussions underscored the delicate balance between maintaining the dollar's dominance and addressing the growing national debt, leaving attendees with much to consider about the future of the U.S. economy.