The dollar was earning a sharp profit on Friday after data better than the US reduced expectations for further easing by the Federal Reserve this year.
Jackal Pan | Instant | Getty Images
The dollar fell on Wednesday after US lawmakers failed to avoid government shutdowns and raised questions from traders about the potential economic impact.
The dollar index, which measures greenback performance against six rival currencies, including the euro and Japanese yen, lost 0.2% to trade at 97.61. This move caused the benchmark to fall 10% in 2025. This marked the largest annual loss in the US currency since 2003, down 14.6%.
The US government has been shut down after the Senate failed to pass a short-term funding bill, and Democrats, led by Senator Chuck Schumer, and House minority leader Hicombe Jeffries, are calling for steps to expand the strengthening of the Obamacare tax. Meanwhile, President Donald Trump threatened that if an agreement was reached, benefits for “many people” would be cut.
Stock chart icon Stock chart icon
Previous dollar index
“Historically, the shutdown has been primarily for safe haven currencies, and weaker USD for safe haven currencies such as Danielton, a Forex analyst like Swiss franc and the euro,” he said. “You’ll be given something permanent [U.S. dollar] The pessimism in the current market narrative should also increase the political uncertainty of the US as well as put pressure on the decline in the US dollar. However, the quick fix of the shutdown may result in limited follow-throughs, falling into the same range as in recent months. ”
With the latest decline in greenbacks, gold futures traded in gold have hit an all-time high of over $3,900 per ounce.
