| Time | Country | Event | Period | Previous value | Forecast | Actual |
|---|
| 06:00 | Germany | CPI, m/m | June | 0.1% | 0.0% | 0.0% |
| 06:00 | Germany | CPI, y/y | June | 2.1% | 2% | 2% |
During today's Asian trading, the U.S. dollar declined slightly against major currencies, retreating from a two-week high, while markets largely shrugged off President Donald Trump's latest tariff threats. While Brazil’s currency tumbled after Trump threatened a steep 50% levy, reactions elsewhere were muted, reflecting investor fatigue with frequent trade salvos and hopes for eventual compromises.
The US Dollar Currency Index (DXY), which tracks the dynamics of the dollar against six currencies (euro, swiss franc, yen, canadian dollar, pound sterling and swedish krona) fell by 0.10% to 97.41.
Earlier in the week, the dollar had climbed when Trump imposed 25% tariffs on Japan and announced measures against several smaller trade partners. But fresh demand for U.S. Treasuries - especially after a strong 10-year auction - helped pull yields lower, weighing on the greenback.
Expectations of Federal Reserve rate cuts later this year also supported risk appetite. Minutes from the Fed’s latest meeting showed most policymakers favored easing, viewing any tariff-related price shocks as likely temporary.
The Brazilian real slumped as much as 2.4% to its weakest level in a month after Trump cited both trade issues and the treatment of former president Jair Bolsonaro. In contrast, the euro edged up 0.1%, and sterling gained by 0.2%. The dollar held firm against the yen around 146.3.
Strategists expect more dollar weakness ahead. Julia Wang of J.P. Morgan Private Bank noted the currency remains overvalued by as much as 15% and sees further declines as investors reallocate capital and economic cycles converge globally. Meanwhile, buoyant equity markets saw Nvidia briefly become the world’s first $4 trillion company, while bitcoin surged to a record near $112,000.