By Carter Johnson and Maria Elena Vizcaino
The US dollar got a fresh jolt to start the week as speculation around potential trade deals sparked an extraordinary spike in Taiwan’s currency and reverberated across global foreign exchange markets.
Already under pressure as President Donald Trump’s economic agenda dents attitudes around American assets, the greenback weakened further on Monday against nearly all major currencies, with a Bloomberg gauge of the dollar falling almost 0.3% as of 11:20 a.m. in New York. Taiwan’s dollar led gains among the 16 major peers tracked by Bloomberg, earlier jumping the most in more than three decades on an intraday basis. The yen rallied some 0.9%, leading gains among the Group-of-10, while the euro pushed above the $1.13 mark.
Trump’s aggressive trade talk has rattled macro markets since he took office in January, undermining the dollar’s traditional haven role in times of stress and leading investors to allocate away from US assets. In recent days, investor focus has been on the scope and nature of any trade and tariff deals that the Trump administration will negotiate with key partners — and whether that will involve a coordinated effort among global policymakers to further weaken the greenback.
“We’re all feeling a little shell-shocked in this part of the world,” Arindam Sandilya, a Singapore-based global FX strategist at JPMorgan Chase & Co., said on a podcast describing the recent moves in Asian currencies. “The large and synchronized nature of currency appreciation is fueling talk of some sort of currency accord among the region’s central banks.”
Disclaimer
The information contained in South Florida Reporter is for general information purposes only.
The South Florida Reporter assumes no responsibility for errors or omissions in the contents of the Service.
In no event shall the South Florida Reporter be liable for any special, direct, indirect, consequential, or incidental damages or any damages whatsoever, whether in an action of contract, negligence or other tort, arising out of or in connection with the use of the Service or the contents of the Service. The Company reserves the right to make additions, deletions, or modifications to the contents of the Service at any time without prior notice.
The Company does not warrant that the Service is free of viruses or other harmful components
