An increase of the indicator value may contribute to the rise in quotes of USD.
2 February
Dollar News (USD)
Categories
In recent months, trader sentiment towards the dollar has deteriorated. The cost of buying versus selling greenback options has already plunged to -27 basis points, its lowest level since 2011, Bloomberg reports.
21 May 2025
Fed’s Alberto Musalem forecasts negative impact of tariffs on US economy
Alberto Musalem, President of the Federal Reserve Bank of St. Louis, warns tariffs may pressure the US economy and labor market. As the official stated, even after the easing of tensions on May 12, tariffs can significantly affect the near-term economic outlook.
21 May 2025
Dollar keeps trading in narrow range ahead of congressional debate on tax bill
On Tuesday, the dollar is holding in a narrow range. Pressure on the currency is created by the discussion in the US regarding a new bill that could increase the country's budget deficit.
20 May 2025
Experts interviewed by Reuters expect further weakening of the US dollar due to Donald Trump's unpredictable tariff policies and their uncertain impact on the country's economy. Investors are now questioning the "exceptionalism" of the United States.
20 May 2025
Trump’s tariffs could offset benefits of US tax cuts — Goldman Sachs
As Republicans advance their budget package through Congress, hopes for an economic and market boost are rising. However, Goldman Sachs warns that new tariffs on imports could negate the positive impact of proposed tax cuts and spending measures, according to a note by economists led by Jan Hatzius.
20 May 2025
Fed is cautious about US markets following credit rating downgrade
On Monday, the Federal Reserve (Fed) officials expressed caution about the consequences of the US government's credit rating downgrade for the markets.
20 May 2025
Guggenheim Securities Co-Chair Jim Millstein believes the US could face a “fiscal disaster” in case of a recession as the government looks to cut taxes significantly.
20 May 2025
Gold regains previous week's losses amid US credit rating downgrade
On Monday, gold began to actively regain the previous week's losses, which were caused by easing global trade tensions. According to Investing, the rise in gold prices was driven by several factors simultaneously, including Moody's downgrade of the US credit rating.
19 May 2025
Dollar falls against major currencies after US credit rating downgrade
On May 19, the US dollar fell against a number of foreign currencies following the downgrade of the American government's credit rating.
19 May 2025
US Treasury Secretary Bessent dismisses concerns over government debt and inflation
US Treasury Secretary Scott Bessent commented on Moody's decision to downgrade the country's credit rating. He criticized the agency, claiming that it based its decision on old data that does not reflect the current situation.
19 May 2025
The dollar is the monetary unit of the United States (US). It is also used as the official currency by some other countries (Ecuador, Zimbabwe, El Salvador). The dollar holds a leading position in the world economy.
At the moment, the dollar dominates the system of international settlements with almost 50% share (the euro ranks second with less than 25%). Meanwhile, the dollar's dominance is even more pronounced in the financial sector, on the foreign exchange market, and in the government reserves.
The US currency (USD) quotes, as well as those of its foreign counterparts, depend primarily on the economic and political situation in the issuing country. The US authorities, such as the Federal Reserve System (the Fed) and the Department of the Treasury, influence the dollar exchange rate by changing their monetary, fiscal, budget, and tax policies.
Moreover, the value of the dollar may be significantly affected by the latest news and the international situation. Global economic problems and rising geopolitical tensions have historically been favorable for the US currency, as investors consider it one of the major safe-haven assets, along with gold. In contrast, during periods of strong economic growth and a relatively calm global environment, the demand for the dollar tend to reduce.
