The value of the dollar has become a clear indicator of global investors’ disapproval of President Donald Trump’s administration. Since taking office, the dollar has depreciated by over 10% against the euro, pound, and Swiss franc, declining against every major currency worldwide.
This rapid decline is reminiscent of 2010, during which the dollar experienced a similar drop amid the Federal Reserve’s aggressive money-printing measures following the financial crisis. Currently, multiple aspects of Trump’s policy agenda are causing investor unease. Issues contributing to this trend include widespread tariff increases that have unsettled international allies and disrupted trade, efforts to implement tax cuts that could further exacerbate the already substantial federal deficits and debt, a campaign to persuade the Federal Reserve to lower interest rates, and strong-arm tactics aimed at silencing critics of his policies.