Dollar Recovers Slightly, Trade Uncertainty Looms
The US dollar took a hit in trading on Monday (February 23rd) after markets digested the US Supreme Court's ruling rejecting parts of Trump's tariff plan, but then recovered from intraday weakness and stabilized. This movement occurred amid Trump's response to push for 15% global tariffs as a "replacement" for policies challenged by the court, so trade uncertainty remained a key theme and kept volatility in the forex market under control.
Amid the risk-off trend, gold once again became a defensive target and held firm above the psychological $5,200 level. Spot XAU/USD was around $5,229.48, up +2.45% compared to the previous close (based on a price vs. previous close comparison).
Meanwhile, the DXY was flat with a slight weakening trend: 97.65 (-0.14%). In major pairs, EUR/USD traded at 1.1799 (+0.12%) despite paring gains. GBP/USD strengthened by around 0.2% to 1.3506, while AUD/USD fell by around 0.388% as the Aussie failed to capitalize on the USD's early-session weakness.
In Asia, USD/JPY fell as the yen strengthened; USD/JPY was around 154.71, -0.22% (daily change). The market attributed the yen's strengthening to speculation about the Bank of Japan's policy direction following the latest domestic data, while global risk-off also boosted demand for the yen.
Source: Newsmaker.id