
Etribe Concepts.
May 13, 2025 at 10:08 AM
The tariff pause creates a temporary shift in sentiment, not a guaranteed directional move for the dollar.....
📌Short-term could be days to a couple weeks
Risk-on sentiment could cause money to flow into riskier assets like stocks, emerging market currencies which might soften the USD slightly.
USD pairs like USD/JPY or USD/CHF might dip as safe-haven demand fades
📌Mid to Long-term like weeks to even 90 days
The Fed’s policy path, U.S. economic data, and China’s response to the truce will matter more.
If the U.S. economy stays strong and rate cuts are delayed, the dollar might regain strength, especially if China’s economy doesn't pick up.