Richmond Fed President Tom Barkin said on Tuesday that strong consumer spending might be cushioning the impact of tariffs on inflation, but he warned it could eventually give way to weaker demand and higher unemployment.
The US Dollar (USD) traded with decent gains, reversing part of Wednesday’s retracement, as market participants continued to closely follow any developments from the trade front as well as Trump’s plans to replace Chair Powell.
The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is extending its losses for the second consecutive day and trading around 98.10 during the early European hours on Thursday.