From Yahoo Finance: 2025-05-22 09:20:00

The US dollar is losing its safe-haven status as global investors shift towards undervalued currencies in Europe and Asia due to mounting US debt and policy uncertainty. The US Dollar Index has dropped over 8% this year and is one of the worst-performing asset classes. President Trump’s tax reform package could increase the national debt by $4 trillion. Analysts predict the dollar will continue to weaken, adding to inflation and reducing purchasing power. While the dollar remains dominant globally, sentiment and portfolio shifts are driving its current softness. Despite this, the US dollar is not expected to lose its dominant currency status.



Read more at Yahoo Finance: The dollar could lose its crown as an ‘unfortunate truth’ forces investors to rethink US assets