US Dollar eases from session highs, focus on FOMC Meeting Minutes
The US Dollar (USD) maintains a firm footing on Wednesday, though momentum has eased slightly after a stronger start to the day.
The Greenback opened with a mildly bullish tone amid lingering tariff tensions and cautious market sentiment. Investors remain on edge following US President Donald Trump’s latest tariff threats and the extended deadline for reciprocal duties, which continue to dampen risk appetite and support safe-haven flows into the USD.
The US Dollar Index (DXY), which measures the Greenback against a basket of six major currencies, is up roughly 1.5% from its July 1 low at 96.38 — its weakest level in over three years. However, after marking an intraday high of 97.75, the index has since drifted lower to around 97.50 during American trading hours, as market participants await the release of the Federal Open Market Committee (FOMC) Meeting Minutes later on Wednesday at 18:00 GMT.
Trade tensions remain front and center after US President Trump escalated tariff threats during a Cabinet meeting at the White House on Tuesday. “Today we’re doing copper,” he said, announcing a steep 50% tariff on copper imports to boost domestic production of the metal and bring manufacturing jobs back to the United States (US). He also warned that tariffs on pharmaceuticals are “going to be tariffed at a very, very high rate, like 200 percent,” adding that the measure would be announced soon and take effect after at least a year.
Source: FXstreet
