The US dollar drops amid the fear of Trump fees

The index measures the performance of the US dollar to the lowest level in 5 months, as it has prepared the speculators for the impact of the high US rates on the economy. The dollar’s Bloomberg index fell by 1% to reach its lowest level since November last year, as the US dollar was a significant drop against the Elaine and Swiss francs. The euro has also risen by more than 1% to reach its strongest level in 6 months, approaching the $ 1.10 barrier, which receives great attention from the market. At the same time, European shares fell 1.8%. Customs duties yesterday announced US President Donald Trump that it would impose customs duties of no less than 10% on all countries exporting to the United States of America, with higher fees over 60 countries to counter the major trading deficit the country is suffering from. Canada replied by announcing countermeasures, while China also promised to retaliate. These customs duties, which are worse than expected, threaten to raise prices on trillions of dollars imported annually by the United States. The future contracts of US equities also fell by about 3%, exceeding the losses incurred by Chinese shares, although many Chinese goods face more than 50%. “The fear of US growth is increasing due to customs duties, as well as continuous declines in US equities, which led to the loss of US dollar for its traditional support as a safe haven and a backup currency,” says Ray Atril, head of National Australia Bank Bank. The fall in the US dollar has led to a wide recovery from other currencies. The pound rose 0.8% to $ 1,3115, in its strongest level since October. The Japanese yen and Swiss franc also rose by more than 1%. Interest rates also reflect the risks facing the US economy also about expectations to lower interest rates by the US Federal Reserve, which can increase the pressure that drives the dollar towards decline. The contract contracts associated with the interest rate for one night indicate a 84% possibility to reduce interest by next June, compared to 76% yesterday. At the same time, US Treasury bonds have dropped to almost 4%. Atrel continued: “The markets bet that the US Federal Reserve will move faster than its current speech, such as the slowdown in US growth- especially if it is accompanied by a high unemployment rate- is seen as a decisive factor that can exceed the effect of inflation in the United States, which can exceed the Central Bank. Tempo to facilitate. In -depth evaluation of bilateral trade relations. Our evaluation of news flow so far indicates that the US dollar is in a falling direction. “