The North -American Dollar Slide is evocative of Nixon’s time

The dollar is at the pace of its worst performance during the first 100 days of the United States, as Richard Nixon was in the White House, as Donald Trump imposes tariffs and attempts to remodel world trade.

Trump’s trade policy, aimed at rejuvenating domestic manufacture, reducing industrial base and improved national security.pushInvestors in assets outside the United States. This has caused a weakening of green and raised other coins next to gold.

In the meantime, this week’s data show that China continues to depend on foreign demand and southern exports -Coreanes in the United States decreased this month. Government forecasts aimed at a German economy that will fight to expand this year.

USA and Canada

A dollar caliber is on a good way for your The worst performance During the first 100 days of a United States presidency in data dating to Nixon’s time, when America left the gold standard and went to a free floating rate. The North Dollar Index -American has lost around 9% between January 20, when Trump returned to the White House and on April 25, launched it for the largest loss until the end of the month since 1973.

The forecasts see that the North -American economy has a success of Trump’s commercial policy. The economy is planned expand 1.4% by 2025, according to Bloomberg’s latest economist survey, compared to 2% of the survey last month. The median survey now see 45% of fall in the next 12 months, up to 30% in March.

The next Prime Minister of Canada is established to inherit Economists predict a half year of flat economic growth, an immediate test of their governance, as the Donald Trump trade war causes business investment and exports to go down.

Asia

The strongest growth than expected of China in the first quarter masks Key vulnerability: An increasing dependence on foreign demand, which increases the threat of a stronger blow as commercial tensions increase. The strong contribution of trade also shows how the domestic economy is maintained as it faces the pressure of deflation, the demand of the slow consumer and a fall of prolonged properties.

Service prices between Japan companies remained high Last month, indicating inflationary pressures sustained before the impact of U.S. rates start, as the Japan bank is preparing to establish politics next week.

April Preliminary April commercial data It gave an early view of how American policies could cause export-related economies. He showed that outgoing shipments to the United States and China dropped by 14.3% and 3.4%, respectively, while exports to the European Union and Taiwan increased.

Europe

Germany will probably not generate minimum economic growth this year, according to reviewed government forecasts, a memory of the scale of the challenge that the conservative chancellor has faced in Waiting Friedrich Merz when taking office next month. Dirty domestic product Probably stagnate after the previous two years has been reduced. Government economists previously provide for an expansion of 0.3% this year.

European car sales He returned to growth last month since December, with earnings in the United Kingdom and a robust demand for electric vehicles that make up weaker sales in Germany and France. The demand in Italy and Spain was also strong.

Emerging markets

Kenya’s economy is Sets to overcome Ethiopia to become the largest in East Africa this year, said the International Monetary Fund after the Birr was devalued. The fund estimates that Kenya gross domestic product will be $ 132 billion by 2025, over $ 117 billion in Ethiopia.

Annual Brazil accelerated inflation At the highest level since mid -February 2023 in a report coming in the coming days after the Central Bank directors would ensure investors that the narrow monetary policy works.

World

The International Monetary Fund Abruptly reduced down Its forecasts for world growth this year, and then warn that prospects could be deteriorated even more as the rates of United States President Donald Trump lead to a world trade war. The IMF has reduced its projection for the growth of global production this year to 2.8%, which would be the slowest expansion of gross domestic product since 2020. It would also be the second figure since 2009.

California governor Gavin Newsom presumed that his state has become the The fourth largest economy in the worldFollowing only the United States, China and Germany in the global rankings. The state’s gross national product reached 4.1 dollars last year, and exceeded $ 4.02 trillion from Japan, said Newsom in a statement, quoting FMI country level data and preliminary state data from the United States Economic Analysis Office.

Central banks at Indonesian, Paraguay, Russia And Uzbekistan has maintained unchanged interest rates this week.

This story originally presented to Fortune.com

Source link