Shutdown ≠ Breakdown: The Dollar’s Reign Reloaded

Introduction

The U.S. economy is in the middle of a paradox: one of its longest federal government shutdowns has been underway since 1 October 2025.  Meanwhile, the U.S. dollar remains—in broad strokes—the dominant global reserve currency, and the Treasury under Secretary Bessent is projecting signals of strength and control. On the surface the shutdown …