The US dollar index has fallen to a three-year low, currently around 99.5, as concerns over the US economic outlook and policy direction impact market sentiment. The dollar’s decline accelerated last week due to escalating trade tensions and growth worries, leading investors to sell off US assets. Weak consumer sentiment data further contributed to the dollar’s depreciation against major currencies like the euro and yen.
- The dollar index slipped to around 99.5, its lowest in three years.
- Concerns over the US economic outlook and policy direction are weighing on sentiment.
- Tariff exemptions were announced for some tech products but may face separate levies soon.
- Products remain subject to the existing 20% Fentanyl Tariffs.
- The Commerce Secretary stated he is “not concerned about the US Dollar.”
- The dollar index dropped 3% last week due to trade tensions and growth concerns.
- US consumer sentiment plunged to an over three-year low in April.
- The dollar weakened most against the euro and yen.
The US Dollar is experiencing downward pressure, driven by a combination of trade-related uncertainties, weakening consumer confidence, and broader concerns about the health of the American economy. Although a specific official is unconcerned, the confluence of these factors suggests continued volatility and potential for further depreciation of the dollar against other major currencies. This could impact international trade, investment flows, and the overall competitiveness of US exports.