The dollar is at risk of losing its status as the world's 'safe haven' due to Trump.
The status of the US dollar as the world's reserve currency is becoming questionable due to President Donald Trump's new trade policy. Some investment funds are already voicing distrust of the American currency due to policy instability and rising trade barriers.
The dollar has fallen to its lowest level in three years against the euro due to the trade disputes that began following Trump's imposition of tariffs on imports. Investors are starting to discuss a 'tectonic shift' in the global economy due to these actions.
'There are serious grounds to say that the US dollar has lost its primacy,' said the head of JPMorgan Asset Management.
The US has leveraged the stability of its economy to attract low-interest loans and finance its deficit. But global investors have lost confidence in the US's ability to remain a safe haven.
The fall of the dollar is occurring in a period of global financial stress, indicating a distrust of American assets and a loss of popularity among investors. Experts emphasize the possibility of the emergence of a 'multipolar' system where other currencies, particularly the euro, will carry more weight.
It is worth emphasizing that the crisis of confidence in the dollar is a bad sign for the US, as it may lead to a decrease in its appeal to investors and lenders. For the dollar's popularity, trust in the American economy and its independence is crucial.
Read also
- Fuel Shortage Spreads to 78 Russian Regions as Gasoline Prices Jump 7%
- Fuel Shortage in Russia Sparks Alarm in Ukraine Over Potential Crop Losses for Farmers
- Gas Shortages and Mass Bankruptcies Hit Russia: Could Trump Change the Equation?
- Up to 50% of Russian Refineries Halted After Ukrainian Strikes: Economy in Turmoil
- Wheat Prices Surge After Ukrainian Drones Halt Shipping in the Sea of Azov
- Over Half a Million Russians Declared Bankrupt as Economy Cracks Under Pressure

