WaPo: Investors Ditching US Dollar Due To Trade War

The Washington Post reports:

The U.S. dollar is an early casualty of President Donald Trump’s us-against-the-world trade war. The dollar has lost almost 10 percent of its value since Inauguration Day with about half of that decline coming this month, after the president’s decision to lift taxes on imported goods to their highest level since 1909.

The weaker dollar — now near a three-year low against the euro — is bad news for Americans traveling abroad and could also aggravate inflation by making foreign goods more expensive.

The drop is especially striking because countries that impose tariffs usually see their currency rise. But the wobbly rollout of Trump’s tariff plans — with the president and his aides contradicting themselves about key details — left investors doubting the administration’s competence.

Read the full article. Treasury Sec. Scott Bessent has issued several “nothing to see here” statements.

Investors are abandoning the dollar and Treasuries, scared by US trade war — The dollar has lost 10% of its value under Trump, with half of that decline coming this month. The weaker dollar is now a 3-year low against the euro, aggravating inflation https://t.co/oDy4GNAXEm

— Alfons López Tena 🦇 (@alfonslopeztena) April 15, 2025