From Yahoo Finance: 2025-06-12 17:02:00

The dollar hit a three-year low as U.S. price pressures cooled, driving Treasury yields lower. Wall Street posted modest gains, with tech leading. Oracle surged 13%, while Boeing dropped nearly 5% after a plane crash. Precious metals rose, with gold and platinum gaining. Markets are still digesting the U.S.-China trade deal.

The dollar’s decline continues as U.S. inflation remains subdued. Rates traders anticipate a Fed rate cut in September. The euro is up 12% against the dollar year-to-date. European investors selling dollars contribute to the dollar’s weakness. JPMorgan estimates U.S. tariffs will cost businesses and consumers over $400 billion.

Investors await the Fed meeting next week for clues on interest rates. Softening U.S. inflation may prompt a rate cut. Fed policymakers are cautious due to uncertainties like tariffs and fiscal policy. Analysts predict a 50 basis point rate cut this year. Markets are unsure if Fed policy is sustainable in the changing economic landscape.

Read more: Dollar despair deepens