Trump’s Embrace of Weaker Dollar Fuels Bets on New Downtrend

Market Intelligence Analysis

AI-Powered
Why This Matters

The US dollar experienced a significant drop following Trump's comments, with the Bloomberg dollar gauge falling 1.2% as investors bet on a new downtrend in the currency's value.

Market Impact

Market impact analysis based on bearish sentiment with 90% confidence.

Sentiment
Bearish
AI Confidence
90%
Time Horizon
Short Term

Article Context

Note: This is a brief excerpt for context. Click below to read the full article on the original source.

The dollar suffered its deepest one-day drop since last year’s tariff rollout after Trump said on Tuesday he didn’t think the currency had weakened excessively. Bloomberg’s dollar gauge slid as much as 1.2% as the comments sapped the appeal of the greenback and US Treasuries — boosting what has become known as the debasement trade. For Stephen Jen, founder of Eurizon SLJ Capital, this marks the start of a new phase of dollar declines as the Trump administration targets an exchange rate that supports US exporters.

Continue Reading
Full article on Yahoo Finance
Read Full Article
Original article published by Yahoo Finance on January 28, 2026.
Analysis and insights provided by AnalystMarkets AI.