If the U.S. government increased its holdings of British pounds, definitely

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Increasing the U.S. government's holdings of British pounds means that the U.S. is buying more pound-denominated assets. This would lead to an increase in U.S. official reserves, as the government would need to buy pounds with dollars, which would increase the supply of dollars in the foreign exchange market, putting downward pressure on the value of the dollar. In addition, this would also increase the capital and financial account, as more foreign assets are being acquired.

If the US Government Increased Its Holdings of British Pounds, Definitely