Shifting U.S. foreign policy, rising geopolitical uncertainty, and an overextended stock market are making investors and policymakers reconsider their exposure to the greenback.
Gold price retreats as the week begins, down 0.70%, and falls below the $2,900 figure as investors’ fears of a recession in the United States grow amid controversial trade policies implemented by US President Donald Trump.
The dollar has begun the new week, which could see US steel and aluminum tariffs announced Wednesday, softer, but mostly consolidating within the pre-weekend range.
Stock markets remain mostly weak, especially in the USA, as the ongoing trade war involving the USA is still unresolved, with new tariffs here to stay at least for the time being.
That was one for the books—a week where markets whipsawed between panic and less panicked, leaving traders dazed and scrambling to make sense of the shifting macro landscape.
The euro was the strongest major currency last week, while the US dollar was the weakest. Volatility increased during this period, as 70% of the most important Forex currency pairs and crosses changed in value by more than 1%.
The US dollar fluctuated wildly against the Canadian dollar during the previous trading week, and I think that will continue to be the case in the coming days. After all, there has been a rise in discussion about tariffs and their potential danger.
