A significant weakening of the US Dollar this week
The EUR/USD pair appreciated sharply by +3.64% to 1.1355, a 3-year high.
Trump announced a 90-day pause on the implementation of the reciprocal tariffs announced last week, with a base tariff of 10% for all countries except China, for which he raised the base tariff to 145%. The latter responded with 125% tariffs on US imports. This escalation in trade tensions has fueled economic uncertainty and revived concerns about global economic growth, significantly weakening the dollar this week.
The dollar is being penalized by a crisis of confidence which threatens its safe-haven status.
