The dollar advanced on Friday before Donald Trump’s return to the White House on Monday, but its rise remained contained by uncertainties surrounding the president-elect’s future policies. Around 9:30 p.m. French time, the greenback rose 0.20% against the single European currency, to 1.0278 dollars per euro. It also increased by 0.55% against the pound, which is still struggling due to a stagnant British economy, at 1.2172 dollars against the pound.
“Forex traders’ attention is focused on the inauguration of new President Donald Trump, which will take place Monday morning”summarized Monex USA analysts in a note. “It is said (…) that the Trump team is ready to sign a hundred decrees on the first day”commented Marc Chandler, of Bannockburn Global Forex, according to whom “the question is what will happen in the first 48 hours” following the inauguration.
“The fog around Donald Trump’s policies may begin to clear when he takes office early next week, but higher tariffs appear to be a safe bet”estimated analysts at Capital Economics. Such measures could increase inflation in the United States and consequently delay further rate cuts by the American central bank.
“Rate cuts”
One of the governors of the American Federal Reserve (Fed), Christopher Waller, however, did not rule out Thursday that the institution decides to lower its rates up to four times in 2025, if the inflation figures are well oriented . Christopher Waller also “shown open to a rate cut from March”specify Deutsche Bank analysts.
-At the same time, bitcoin gained altitude on Friday, increasing by 4.58%, to 105,180.79 dollars, approaching its last absolute record of 108,315.51 dollars, reached in mid-December. The price of the most capitalized cryptocurrency is driven by information from Bloomberg, which cites sources close to the matter, according to which Donald Trump plans to publish a decree elevating cryptocurrency to the rank of political priority and giving players in the sector a voice in the matter. within his administration.
The article also reports that the creation of a national strategic reserve of bitcoins is indeed being considered, which would encompass the existing holdings that the government holds in this cryptocurrency. “The market appears to be reacting positively to this sign that cryptocurrencies may receive more favorable treatment” under this new mandate, underlines Antonio Di Giacomo, analyst at XS.com. Since the election of Donald Trump on November 5, cryptoassets have soared, with the value of bitcoin increasing by more than 50%, for example.
