|

US Dollar Index inches higher above 97.00 as Trump warns extra 10% tariff on BRICS ally

  • US Dollar Index gains ground as Trump said that he will charge additional 10% tariff on BRICS nations.
  • US Commerce Secretary Howard Lutnick confirmed that the new tariffs are scheduled to take effect on August 1.
  • President Trump signed into law his flagship "Big Beautiful Bill," a sweeping package of tax reductions and spending cuts.

The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is retracing its recent losses and trading higher around 97.10 during the Asian hours on Monday. The Greenback receives support due to risk-off sentiment as US President Donald Trump posted on social media “Any Country aligning themselves with the Anti-American policies of BRICS, will be charged an ADDITIONAL 10% Tariff. There will be no exceptions to this policy.”

US Treasury Secretary Scott Bessent said on Sunday that US President Donald Trump will send letters to some trading partners, warning that tariffs could revert to April 2 levels on August 1 if no progress is made on a trade deal. He clarified that August 1 is not another new tariff deadline but suggested that it could still give trading partners more time to renegotiate tariff rates.

US Commerce Secretary Howard Lutnick confirmed the new tariffs are set to take effect on August 1. Lutnick added that Trump is currently finalizing the specific rates and agreements and may send out 12 or 15 letters on tariffs on Monday. He also indicated that trade deals or letters with most nations will be done by July 9.

The US Dollar faced challenges amid rising expectations of deeper Federal Reserve (Fed) rate cuts. However, stronger-than-expected US jobs data helped ease those worries. The Greenback may further struggle due to mounting fiscal concerns as Trump signed his flagship "Big Beautiful Bill" into law a massive package of tax and spending cuts at the White House on Friday.

US Dollar PRICE Today

The table below shows the percentage change of US Dollar (USD) against listed major currencies today. US Dollar was the strongest against the New Zealand Dollar.

USDEURGBPJPYCADAUDNZDCHF
USD0.12%0.19%0.48%0.19%0.58%0.61%0.15%
EUR-0.12%0.08%0.12%0.05%0.53%0.48%0.02%
GBP-0.19%-0.08%0.00%-0.01%0.45%0.41%-0.18%
JPY-0.48%-0.12%0.00%-0.05%0.33%0.36%-0.26%
CAD-0.19%-0.05%0.01%0.05%0.41%0.43%-0.17%
AUD-0.58%-0.53%-0.45%-0.33%-0.41%0.06%-0.63%
NZD-0.61%-0.48%-0.41%-0.36%-0.43%-0.06%-0.59%
CHF-0.15%-0.02%0.18%0.26%0.17%0.63%0.59%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the US Dollar from the left column and move along the horizontal line to the Japanese Yen, the percentage change displayed in the box will represent USD (base)/JPY (quote).

Author

Akhtar Faruqui

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

More from Akhtar Faruqui
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

EUR/USD off three-month highs, holds near 1.1800 on softer US Dollar

EUR/USD consolidates gains below 1.1800 in the European trading hours on Wednesday. A broadly subdued US Dollar continues to underpin the pair amid quiet markets and thin liquidity conditions on Christmas Eve. 

GBP/USD keeps range around 1.3500 amid quiet markets

GBP/USD keeps its range trade intact at around 1.3500 in the European session on Wednesday. The Pound Sterling holds the upper hand over the US Dollar amid pre-Christmas light trading as traders turn to sidelines heading into the holiday season. 

Gold retreats from record highs amid profit-taking on Christmas Eve

Gold retreats following the move higher to the $4,525 area, or a fresh all-time peak, though the downside remains limited amid a bullish fundamental backdrop. The US Dollar selling bias remains unabated on the back of dovish Fed expectations, which continues to act as a tailwind for the bullion amid persistent geopolitical risks.

Shiba Inu's bears tighten grip, aiming for yearly lows

Shiba Inu price remains under pressure, trading below $0.000070 on Wednesday as bearish momentum continues to dominate the broader crypto market. On-chain and derivatives data further support the bearish sentiment, while technical analysis suggests a deeper correction targeting the yearly lows.

Economic outlook 2026-2027 in advanced countries: Solidity test

After a year marked by global economic resilience and ending on a note of optimism, 2026 looks promising and could be a year of solid economic performance. In our baseline scenario, we expect most of the supportive factors at work in 2025 to continue to play a role in 2026.

Stellar Price Forecast: XLM slips below $0.22 as bearish momentum builds

Stellar (XLM) price is trading below $0.22 at the time of writing on Wednesday after failing to close above the key resistance earlier this week. Bearish momentum continues to strengthen, with open interest falling and short bets rising.