Dollar Dips Amidst Concerns Over Tariff Impact

The U.S. dollar has seen a decline in value due to ongoing concerns about the economic impact of tariffs imposed by former President Donald Trump. Jefferies economist Mohit Kumar suggests that doubts are growing regarding the credibility of U.S. exceptionalism and the dollar’s status as the global reserve currency, potentially leading investors to seek alternative destinations. In response to these developments, Kumar anticipates a decline in the strength of the dollar and suggests the era of its dominance may have reached its peak. This shift away from the U.S. dollar could benefit gold prices as central banks diversify their holdings.