Strong dollar after Trump tariff announcement, emerging markets affected.

The dollar surged after Trump’s trade tariffs announcement, strengthening 0.6% against peers. Currencies like yen and won dropped over 1%. US is sending letters to trading partners ahead of Wednesday deadline, with tariffs set for Aug. 1. The dollar is still down 9% this year, supported by strong payrolls data.

Yen fell 1.2% to 146.15 per dollar, won down 1.1% at 1378 per dollar. Trump’s announcements caused broad selloff in risk assets. Emerging-market currencies declined 0.5% as Trump threatened extra 10% tariff on countries aligning with BRICS policies. Rand, rupee, real, yuan fell. Uncertainty over final tariff rate persists.

Trump warned trading partners of tariffs between 10%-70%. Some deals are in the works, but uncertainty remains. BRICS group faces extra 10% tariff. South Africa, India, Brazil, China impacted. Market moves reflect pessimism. Developing nations affected. Market has not priced in 25% tariffs.

Read more at Yahoo Finance: Dollar Jumps Ahead of Trump Tariff Deadline