The dollar has dropped to its lowest level in six months

DOLLAR INDEX

The US Dollar Index is trading below the resistance zone of 103.50. Prices are likely to decline and retest the support zone at 101.50. This scenario would be invalidated if the aforementioned resistance zone is broken to the upside.

The U.S. Dollar Index (DXY) saw a notable decline today, dropping by 1.59% to reach 102.16 — its lowest level since mid-October 2024. This drop followed President Donald Trump’s announcement of sweeping tariffs, including a base 10% levy on all imports and higher tariffs on major trade partners such as China, the European Union, and Japan.

These measures shook investor confidence, prompting a shift toward safe-haven assets like the Japanese yen and Swiss franc, both of which rose against the dollar. Additionally, concerns have grown over the potential escalation of trade wars and their negative impact on the global economy, further weighing on the dollar’s value.

In this context, analysts expect continued volatility in currency markets, with the U.S. dollar likely to remain under pressure amid rising trade tensions and protectionist policies.

You can now benefit from LDN company’s services through the LDN Global Markets trading platform.