Trump inauguration: US dollar falls after press reports on customs duties

Trump inauguration: US dollar falls after press reports on customs duties
Trump inauguration: US dollar falls after press reports on customs duties

The US dollar accelerates its fall on Monday, weighed down by press reports according to which Donald Trump will not introduce new customs duties immediately after his inauguration, while bitcoin is racing in the prospect of a second pro-crypto mandate .

Around 9:05 a.m. Montreal time, the American currency fell 1.16% against the euro, to 1.0392 dollars, and fell 1.00% against the pound, to 1.2291 dollars.

The US greenback fell sharply after the publication of a Wall Street Journal article, according to which Donald Trump, who takes the reins of the United States on Monday, plans to issue a memorandum asking US federal agencies to study policies and U.S. trade relations with China and its continental neighbors.

The newspaper suggests that the future head of state would thus refrain from imposing new customs duties from the first day of his mandate.

-

The market had initially anticipated that Trump could introduce 25% customs duties on all products from Mexico and Canada this Monday, citing the fight against the entry of drugs and migrants into the United States. China is also threatened with an increase in customs taxes.

However, such a trade policy is considered inflationary by the market, suggesting that American interest rates will remain high, which had contributed to inflating the price of the greenback.

Already at the start of the session, the dollar had faltered after “positive discussions” between Donald Trump and Chinese President Xi Jinping last week, reports Lee Hardman, analyst at MUFG, which had calmed concerns about a trade war.

-

--

PREV Tunisia – Hammam Lif: Gas kills three members of the same family
NEXT Last minute: the message from Dani Olmo – FC Barcelona