Euro Hits New High Amid US Dollar Decline

The US dollar experienced a significant drop on Friday, with the euro climbing 1.58% to reach $1.1387, marking its highest point since February 2022. This dramatic shift comes in response to a series of new tariffs announced by US President Donald Trump, which has left the markets in a state of uncertainty.

Market Reactions to Trump's Tariff Policies

Following Trump's declaration of a 125% tariff on Chinese imports and a 90-day suspension on other trade duties, investors quickly moved away from US assets. The euro's value surged to $1.14170 by 4:05 am ET, while the dollar index fell by 1.15% to 99.7406 points.

Investors Brace for Continued Volatility

The financial markets are bracing for further volatility as the implications of these tariffs unfold. The immediate reaction has been a sharp decline in the US dollar's value, with the euro benefiting from the shift in investor sentiment.