The US Dollar continues its downward spiral, hitting a fresh three-year low against G10 currencies and marking its worst six-month performance in a decade. Market anxieties are fueled by President Trump’s consideration of replacing Federal Reserve Chair Jerome Powell, raising concerns about politicized monetary policy and potential rate cuts. Meanwhile, weak Q1 GDP data, coupled with rising prices, adds to the Dollar’s struggles and ongoing debates about "de-dollarization." The Euro has surged to its highest level since 2021, largely driven by Dollar weakness, while the Swiss Franc has reached historic highs against the Buck, solidifying its safe-haven status despite intervention attempts by the Swiss National Bank. Traders now await key data such as tomorrow’s PCE Deflator Index for potential surprises.
