The dollar is facing challenges in 2026 with a three-day slide against major currencies, reminiscent of last year’s 10% drop under President Trump’s policies. Market volatility is high, with concerns over Trump’s domestic and international actions, potential government shutdowns, Fed rate cuts, and Powell’s successor influencing investor decisions. Global equities are diversifying away from the US, while the dollar remains under pressure due to aggressive policies and trade imbalances. Despite recent interventions, the dollar remains down 13% against the yen in the past year. On a trade-weighted basis, the dollar has only lost around 5.3% in the last 12 months.

Read more at Yahoo Finance: Analysis-Dollar under fire again as investors reassess Trump policies, geopolitical risk