- 08/10/11 09:03 AM ET
The Federal Reserve has taken another step to end the dollar's reign as a global reserve currency, Rep. Ron Paul said Wednesday.
Paul, the GOP presidential candidate and frequent Fed critic, criticized the central bank's Tuesday announcement that it would keep a key interest rate at or near zero percent for another two years.
"I think what we're dealing with is the end of the dollar reserve standard, and that's a world-wide phenomenon," Paul (R-Texas) said on CNBC.
The Fed on Tuesday did not announce a third round of quantitative easing as some were hoping, which could have led to more Fed purchases of Treasury debt and a flood of new money, something Paul has criticized in the past. Still, Paul implied that the Fed's decision to keep interest rates low through mid-2013 is a supplemental strategy that will push the dollar down, and said the recent surge in gold prices is a sign of that.
"There's not much left other than commodities, you know, and real value," he added. FULL STORY