The US dollar is preparing for a 3 percent jump if former US President Donald Trump is re-elected next November, according to forecasts issued by foreign exchange strategists at Barclays Bank.
According to what was reported by Bloomberg, this support that the dollar is waiting for from Trump’s return to white is due to Trump’s policy proposals to increase tariffs, economic stimulus, and weak commitment to NATO .
The bank believes that imposing 10 percent customs duties on all goods imported into the United States would raise the dollar exchange rate by between 2 and 3 percent.
During this week, US President Joe Biden and former President Donald Trump won their parties’ nominations for the presidential elections next November, in the first confrontation for the second time in a row in that ballot in nearly 70 years.
Barclays Bank experts expect trade relations with China to deteriorate regardless of who wins the presidential elections. They also expect that if the United States imposes 60 percent tariffs on Chinese imports, the nominal effective exchange rate of the yuan will fall by 3 percent.
skynewsarabia.com
