Concerns Over Tariffs Impacting U.S. Economy Lead to Dollar Decline

According to Odaily, the U.S. dollar has experienced a decline due to ongoing concerns about the impact of tariffs imposed by U.S. President Donald Trump on the American economy. Jefferies economist Mohit Kumar noted in a report that there are growing doubts about the credibility of the U.S. exceptionalism and the dollar's status as a reserve currency. He suggested that in the medium term, tariffs could undermine the reliability of the United States, prompting investors to seek alternative destinations. Kumar indicated that the era of a strong dollar has peaked, and the currency may weaken further. As central banks worldwide aim to reduce their reliance on the dollar, gold prices could potentially benefit from this shift.