Factors for the Decline of the US Dollar and the Rise of Gold
1. Tariff Tensions
- Impact on the Dollar: Tariff tensions can lead to uncertainties in global trade, thereby reducing the demand for the US Dollar. When investors have less confidence in the economic stability of the USA, the value of the Dollar decreases.
- Impact on Gold: In times of economic uncertainty, investors often seek safe investment forms like Gold. This leads to increased buying pressure and rising prices.
2. Donald Trump’s Investigation into Mineral Tariffs
- These measures can also strain trade relations and contribute to the devaluation of the Dollar.
- They encourage investors to be more risk-seeking in investing in safer assets like precious metals.
3. China’s Export Restrictions
- China’s export restrictions can impair global trade and lead to a deterioration of economic outlooks.
- This can in turn weaken the value of the Dollar while simultaneously increasing demand for safe assets like Gold.
Current Exchange Rates
Currently, the Euro stands at approximately 1.1381 USD per Euro. However, the exchange rate is highly volatile and can be influenced by economic indicators as well as geopolitical events.
Summary
The decline of the US Dollar is driven by a combination of tariff-related tensions, political measures, and global trade restrictions. At the same time, Gold benefits as a safe haven from these uncertainties and reaches new highs.
| Current Currency Ratios: | |
|---|---|
| Currency | Exchange Rate |
| EUR/USD | approx. 1.1381 |
| USD/TRY | approx. 37 – 38 |
These ratios are susceptible to short-term fluctuations based on market conditions.