In the first 100 days of Donald Trump’s presidency, the US dollar experienced its steepest decline since Richard Nixon’s administration, according to Bloomberg data.
This is reported by Finway
Anomalous Decline of the Dollar
The US dollar index fell by approximately 9% from January 20 to April 25, 2025. This decline is considered anomalous, as traditionally the first 100 days of a US presidency are accompanied by a strengthening of the national currency, at least over the past few decades. For example, during Nixon’s presidency in 1973, when the country abandoned the gold standard and shifted to a floating exchange rate, the dollar experienced a smaller decline of only 8.1%.
“Originally intended as a temporary measure, the so-called ‘Nixon shock’ of 1971 led to a decline in the dollar, effectively ending the Bretton Woods system of fixed exchange rates established after World War II.”
Factors Behind the Decline
Among the reasons for the dollar’s decline in Trump’s first 100 days, the publication notes his trade war against the entire world. Investors began to fear the unpredictability and consequences of such policies, prompting them to seek alternatives to the dollar. As a result, during this period, the euro, Swiss franc, and Japanese yen each rose by more than 8% against the dollar. Additionally, the price of gold is rising, which is an indicator of instability in the global economy.