Business and consumer sentiment in the US is collapsing, and hard data may soon follow. With tariffs acting as an exogenous shock, investors are preparing for recession — not inflation — and abandoning the US Dollar, Commerzbank's FX analyst Antje Praefcke notes.
Stocks screens are a sea of red as investors register deepening concerns over the impact of US tariffs on the global economy. Are countries rushing to offer the US concessions on trade? So far, it seems only Vietnam and Cambodia have started talks to lift levies.
The trade-weighted DXY has broken to a new low for the year as investors continue to fear what these new reciprocal tariffs mean for US confidence and activity, ING's FX analyst Chris Turner notes.