Illustration: Sarah Grillo/Axios

Yale University senior fellow and former Morgan Stanley Asia chairman Stephen Roach is the latest to predict the end of the dollar's run as the world's dominant currency, telling MarketWatch in an interview Monday that his forecast for a sharp deterioration of the greenback could happen "sooner rather than later."

What he said: Roach predicts the dollar will soon decline by 35% against its major rivals. “This massive shift to fiscal stimulus is going to blow out the national savings rates and the current-account deficit,” he said, reiterating comments he made in a recent op-ed published by Bloomberg News on June 14.

  • In the Bloomberg piece, Roach argued the dollar's "downtrend could gather momentum in the years ahead, especially with the U.S. currently leading the charge in de-globalization and decoupling."
  • “In a COVID era everything unfolds at warp speed,” he told MarketWatch on Monday. He pointed to the contraction of the U.S. economy from an unemployment rate that was hovering around a 50-year low at around 3.5% in January to the highest unemployment rate on record in April.

The backdrop: Currency analysts and fund managers have been calling for the dollar to weaken materially for years, while top economists like former Bank of England governor Mark Carney have called for the world to diversify away from the greenback. But this hasn't yet happened to any meaningful degree.

Go deeper: Consumer price index falls for third straight month for first time in its history

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Bill Clinton slams McConnell and Trump: "Their first value is power"

Former President Bill Clinton on Sunday called Senate Majority Leader Mitch McConnell's (R-Ky.) vow to fill Ruth Bader Ginsburg's vacant Supreme Court seat before the next presidential inauguration "superficially hypocritical."

The big picture: Clinton, who nominated Ginsburg to the court in 1993, declined to say whether he thinks Democrats should respond by adding more justices if they take back the Senate and the White House in November. Instead, he called on Republicans to "remember the example Abraham Lincoln set" by not confirming a justice in an election year.

Pelosi: Trump wants to "crush" ACA with Ginsburg replacement

House Speaker Nancy Pelosi said on ABC's "This Week" on Sunday that President Trump is rushing to replace the late Supreme Court Justice Ruth Bader Ginsburg because he "wants to crush the Affordable Care Act."

Why it matters: Pelosi wants to steer the conversation around the potential Ginsburg replacement to health care, which polls show is a top issue for voters, especially amid the coronavirus pandemic. The Trump administration has urged the courts to strike down the law, and with it, protections for millions with pre-existing conditions.

Mike Allen, author of AM
Updated 2 hours ago - Politics & Policy

Democrats' Armageddon option

A makeshift memorial outside the Supreme Court yesterday. Photo: Jose Luis Magana/AFP via Getty Images

Furious Democrats are considering total war — profound changes to two branches of government, and even adding stars to the flag — if Republicans jam through a Supreme Court nominee then lose control of the Senate.

On the table: Adding Supreme Court justices ... eliminating the Senate's 60-vote threshold to end filibusters ... and statehood for D.C. and Puerto Rico. "If he holds a vote in 2020, we pack the court in 2021," Rep. Joe Kennedy III (D-Mass.) tweeted.