The US signs trade agreements with Japan, Indonesia, and the Philippines, with tariffs ranging from 15% to 19%. The EU seeks to secure 15% tariffs as well. Reduced trade uncertainty is increasing global risk appetite and could lead to a sharp cut in the US dollar. The futures market anticipates easing in 2026 due to Jerome Powell’s potential departure as Fed chair.

US stock indices are thriving with positive corporate earnings and reduced trade uncertainty. The S&P 500 hits historical highs, with analysts expecting 14% profit growth from the Magnificent Seven companies. A weak dollar supports the index, but potential stagflation could lead to a decline in corporate earnings and stock prices.

Read more at Investing.com: US Dollar Under Pressure as Global Trade Deals Boost Risk Sentiment