From Yahoo Finance: 2025-05-25 20:04:00

The euro surged to a one-month high against the dollar after Trump delayed 50% tariffs on EU goods. The dollar weakened amid policy reversals and tax-cut bill, pushing investors to non-U.S. markets. ECB President Lagarde sees euro as a potential reserve currency if EU strengthens financial and security architecture.

Sterling reached its highest level since February 2022, while safe-haven yen and Swiss franc eased. Trump postponed EU tariffs until July 9, after a call with EU President von der Leyen. The move, though positive for investors, highlights the unpredictability of U.S. trade policy.

Trump hinted at changes to the spending and tax-cut bill, which could add $3.8 trillion to the federal debt over a decade. The shift from fiscal conservatism to pro-growth policies may lead to a multi-year decline in the USD. Market consensus is leaning towards a weaker dollar in the future.



Read more at Yahoo Finance: Euro logs one-month high after Trump delays EU tariffs