Things are not looking all that great for the US Dollar right now. Despite a rather bullish trend throughout all of 2017, Asian market traders are looking to liquidate their US Dollars rather quickly. In fact, the USD is weakening against all major national currencies, as well as every single Asian currency. A direct result of the Trump presidency, or is something else going on?
US Dollar Could Slide Down By Quite A Margin
Looking at the chart for the US Dollar Index, it is now hard to see things are unraveling. There is no reason to cause widespread panic just yet, but the downward trend is impossible to miss. Right now, the US Dollar is going through a rough patch, which is mostly driven by traders and speculators in the Asian market. That is not entirely surprising, as China wants as little to do with the US as possible.
Some heavy selling the US Dollar in Asia. Currency weakens against ALL major peers & ALL Asian currencies as #Trump trade unwinds continues pic.twitter.com/1ryN6bWSx4
— David Ingles (@DavidInglesTV) January 23, 2017
The US Dollar Index has dipped from its high at 104 to 100.32 at the time of writing. Although the chart has been filled with ups and downs for as long as people remember, the bullish trend seems to be broken once and for all. Even though Asian traders are liquidating their US Dollars right now, the currency is not losing much ground compared to the Yuan. Right now, there is a 0.31% change, which is not something to worry about by any means.
Things are a bit different when looking at the other currencies, though. The US Dollar lost over 1.1% against the Japanese Yen over the past 24 hours. Things remained status quo when it comes to the Hong Kong Dollar, yet the Singapore Dollar gained 0.43% on the USD. Compared to nearly all other currencies, the USD is losing ground as well, which is not a positive sign.
Even other international currencies are gaining on the US Dollar. The Euro bounced back with a 0.36% gain over the past day, and the Pound Sterling recovered by 0.7%. All other markets show a similar trend taking place right now, which confirms the global weakening of the US Dollar all of a sudden. Then again, many experts predicted harsh times for the USD once Trump became President. Early indicators appear these predictions could be correct, although financial markets can turn around at any given time.
For the time being, this decline in USD value has not affected the bitcoin market in any way. Price remain firm around the US$915 mark, although a small increased to US$930 could be on the horizon. The Trump Era will be quite interesting for financial markets all over the world, that much is certain at this point in time.
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