The dollar fell due to tensions between the US and Europe, facing devaluation risks

According to Jinshi reports, due to market concerns about U.S. President Trump’s intention to seize Greenland from Denmark, relations between the U.S. and Europe are tense, and the dollar is weakening.

Trump stated that starting from February 1, he will impose a 10% tariff on several European countries, and the European Union is considering retaliatory tariff measures. Analysts at Barclays Bank pointed out that the tension may prompt foreign investors to increase hedging against the risk of dollar depreciation, and the dollar may continue to be under pressure in the short term.