Greenback Gets Grounded: USD Crashes to 6-Week Lows
Another bad day for fiat—the dollar just ate pavement harder than a crypto trader chasing 100x leverage.
Why it matters: When the world’s reserve currency stumbles, digital assets stand ready to pounce. Gold’s boring. Bitcoin’s buzzing.
The irony? Wall Street’s still pretending stablecoins are the risky ones while the Fed plays monetary whack-a-mole with inflation.
U.S. debt worries trigger “Sell America” trend
On Monday, the dollar index fell 0.8 percent after data showed U.S. manufacturing shrank for the third straight month in May, with tariff-related delays slowing supplier delivery times. Last week, the dollar briefly recovered, rising 0.3% when talks with the European Union resumed.
In addition, the U.S. trade court blocked most of Trump’s proposed tariffs. However, an appeals court overturned that tariff block a day later, and the administration said it WOULD look for other ways to enforce the tariffs if necessary.
Concerns over the U.S. government’s finances have also weighed on investor sentiment, leading to a broader “sell America” trend that has pushed down stocks and Treasury bonds in recent months.
This week, the Senate will review the administration’s tax-cut and spending plan, which could add $3.8 trillion to the federal debt. The U.S. now owes about $36.2 trillion, and lawmakers will discuss how this new plan affects the budget over the next ten years.KEY Difference Wire helps crypto brands break through and dominate headlines fast
