Greenback is a city in Loudon County, Tennessee, United States.

The greenback has fallen against the euro by nearly 15 since the beginning of the summer.

The greenback has lost more than a quarter of its value against other currencies, adjusted for inflation, over the last decade.

To protect itself from the declining greenback, China and other countries are converting a portion of their accumulated dollar reserves into euros.

Since the Chinese government holds a large part of its 2 trillion of foreign exchange in dollars, they have good reason to focus on the future value of the greenback.

While Fed Chairman Ben Bernanke paid obeisance at his recent press conference to the talisman of a strong dollar, the Fed is probably quite happy to see the greenback trending down.

Domestically oriented macroeconomists look at the situation roughly like this at some point in the future, foreign central banks will become less willing to continue buying massive amounts of dollar denominated securities in order to prop up the greenback.