A decrease of the indicator value may contribute to the fall in quotes of USD.
7 July
Dollar News (USD)
Categories
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
Bank of America considers US economy resilient to tariff effects
Analysts at Bank of America (BofA) consider the US economy resilient to tariff-driven pressures. Despite downgrading their forecast for the country’s GDP growth, the experts do not anticipate a recession as they expect trade tension to de-escalate and the US fiscal policy to ease.
19 May 2025
Easing trade tensions may bring back interest in dollar carry trade — Barclays
According to Barclays analysts, carry trade deals may see a resurgence in the short term. Experts say the tension between the US and China is easing, which means less pressure on central banks to cut interest rates.
19 May 2025
Following Moody's downgrade of the US government's credit rating, there was a significant market reaction. The yield on long-term American Treasury bonds briefly surged past the critical 5% threshold, while stock prices and the dollar declined.
19 May 2025
US consumer sentiment hits new low in May as Trump's tariff policy fuels economic anxiety
US consumer sentiment hit a new low in May, largely due to President Donald Trump's new tariffs. According to Yahoo Finance, the ongoing effects of his trade policy are exerting significant pressure on the market.
19 May 2025
On Friday, Moody's became the third agency after Fitch Ratings and S&P Global Ratings to strip the United States of its top credit rating. The organization cut its assessment of the United States' financial reliability from AAA to Aa1.
19 May 2025
A decrease of the indicator value may contribute to the fall in quotes of USD.
16 May 2025
An increase of the indicator value may contribute to the rise in quotes of USD.
16 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.
