The White House dynamics have become quite volatile ever since Donald Trump became the 47th US president. Trump has vigorously been pursuing ways to establish a new world order where the US pioneers all global headwinds and developments. In this wake, Trump is all set to launch reciprocal tariffs on April 2nd, with the global markets bracing for impact. Will this development end up tanking the US dollar more? Let’s find out.
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National Crisis Day on April 2nd: What Is It All About?
Trump in a new post on Truth Social, boldly stated how April 2nd will be deemed a liberation day for America. This has ignited a new chain of events, with Trump gearing up to launch reciprocal tariffs on nations on the aforementioned date.
In a new clip going around on X, US Treasury Secretary Scott Bessant stated how Trump is doing all he can to bolster the US manufacturing units and domains. He later shared how the nations can avoid tariffs if they stop putting counter barriers on the US.
“US Treasury Sec. Bessent: On April 2nd, we are going to produce a list of other countries’ tariffs, and we are going to go to them and say, here’s where we think the tariff levels are, non-tariff barriers, currency manipulation… If you stop this, we will not put up the tariff wall.”
US Treasury Sec Bessent: On April 2nd, we are going to produce a list of other countries' tariffs, and we are going to go to them and say, here's where we think the tariff levels are, non-tariff barriers, currency manipulation… If you stop this, we will not put up the tariff… pic.twitter.com/CvqpkdEAsr
— unusual_whales (@unusual_whales) March 23, 2025
This development may usher in global instability, with the US dollar hitting a new low in the process. The process of issuing and countering tariffs with possible trade war fears has already battered the US currency to a new low.
Trump's reciprocal tariffs hit April 2nd, here are what other countries charge the US, some will shock you:
— Bridger Pennington (@bridger_penn) March 21, 2025
India to US:
•50% Motorcycles
•150% Whiskey
•20-70% Almonds and Apples
Europe to US
•10% Automobiles
•25% Whiskey
•25% Jeans
•25% Cranberries and Orange Juice…
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US Dollar: What’s the Status?
Per Anthony Pompliano, a leading finance expert, the US dollar has lost nearly 26% of its purchasing power since 2020.
“The US dollar has lost more than 26% of its purchasing power since January 2020. That means $1 dollar from 2020 can only buy $0.74 of goods today. This is the hidden tax that destroyed the financial lives of American families.”
The US dollar has lost more than 26% percent of its purchasing power since January 2020.
— Anthony Pompliano 🌪 (@APompliano) March 23, 2025
That means $1 dollar from 2020 can only buy $0.74 of goods today.
This is the hidden tax that destroyed the financial lives of American families.
The dollar has stabilized for now, with analysts expecting a positive turn given the fact that Trump’s tariff ordeals work out for the greater good.
“Our economists downgraded U.S. growth because we now expect tariffs to rise more substantially, which we think should still be positive for the dollar.” Goldman Sachs analysts noted
However, if the reciprocal levies backfire, it may commence a notable trade war narrative, counter-firing on the dollar’s strength and prestige.
🇺🇸 Traders Bet on Weaker US #Dollar for First Time Since #Trump’s Win – Bloomberghttps://t.co/YB6ku0Aer4 pic.twitter.com/kYd6ROpTEH
— Christophe Barraud🛢🐳 (@C_Barraud) March 24, 2025
Also Read: White House Scaling Back Tariffs—Here’s What It Means for You