Market News
Dollar dives as bull case weakens but some investors expect a bounce - REUTERS
Summary
- Dollar down about 5% since Trump's inauguration
- US tariffs pressure dollar while euro rises on German stimulus
- Safe-haven status, other factors could limit dollar's downside
NEW YORK, March 7 (Reuters) - Dollar bulls appear to be in hibernation after a sharp selloff in the greenback on U.S. growth concerns, but some investors think tariffs still have the power to support the U.S. currency. The dollar is down about 5% from the January inauguration of U.S. President Donald Trump and at a four-month low, as U.S. trade tariff headlines have fed worries about U.S. growth. A German fiscal spending boost has also brightened the outlook for Europe, further straining the dollar as investors shift capital to economies viewed as having stronger growth potential.
