Dollar Pressured by US-Europe Tensions
The dollar index slipped to around 98.5 on Wednesday, falling for a third consecutive session as heightened tensions between the US and Europe over President Donald Trump's escalating threats over Greenland hurt confidence in American assets. Over the weekend, Trump threatened eight European countries opposing his plan with new tariffs unless a Greenland deal is reached. The European Union signaled it could impose tariffs on $93 billion of US goods, while France reportedly urged the bloc to deploy its Anti-Coercion Instrument. Markets also grew concerned that Europe could weaponize its substantial holdings of US stocks and bonds in the escalating trade dispute, with a Danish pension fund planning to exit Treasuries. Meanwhile, investors awaited a US Supreme Court ruling on the legality of key elements of Trump's trade policies. The dollar weakened against most major currencies but remained steady versus the yen amid mounting fiscal concerns in Japan.(asd)
Source: Newsmaker.id