As investors FX trading currencies

US President Donald Trump’s deployment The tariff mode Terrible moods to the dollar and make investors seek their trading currencies (FX) elsewhere, the CNBC strategists said.

The dollar index, which measures the cost of the green lapel against the basket of large competitors, was little changed on Wednesday morning. American currency started steady growth in the late 2024 that Peak in mid -January – However, the dollar index has dismantled some of these income in recent weeks.

The dollar has historically been widely considered as a safe assets for investors, given its status as Backup currency in the world and dominance in International borrowings, payments and transactions. When the dollar is strengthened, the US exports are becoming more expensive and imports become cheaper. The value of the green lapel may also influence Global monetary policy, capital flow and corporate profit.

“The positioning of the currency trader turns into a dollar and becomes more bullish on the currencies of large trading partners of the United States when the United States is preparing for the start of a transnational trade war,” said Joseph Brusslas, RSM chief economist, in the research note Posted on Monday.

Brussels pointed to transactions in Euro as a signal of “erosion of trust in the dollar”.

“From the end of October to the first week of March, most European positioning was a long dollar,” he said on Monday. “But for three weeks pure long -term positioning.”

Jordan Rochester, Head of the FICC strategy and Mizuho Bank Emea Arm Strategy, said CNBC that he had spent “down and then up” against the dollar. He sees that the euro falls up to $ 1.06 and $ 1.07 before rising up to $ 1.12 and above the year.

“I expect this market to be the price” maximum pain “as soon as we find out the details of the tariffs,” he said in an e -mail, claiming it presented a “opportunity to take the other side.”

“Tariffs (this) are unlikely to deteriorate if the EU and others (probably) respond completely at the price … retaliation of your own tariffs, which will lead to recovery,” he said.

Athanasios Vamvakidis, the global leader and head of the G10 FX strategy in the Bank of America, said CNBC that he saw “Down” for the dollar, despite the fact that the tariffs would have a direct positive effect on the green appeal.

“We were for the dollar, and we still still have bears in the year as a whole,” he said. “We believe that the market is already pricing for sample tariffs, but it will receive tariffs on the whole board.”

He said CNBC that the dollar could rally this week when the tariffs will come into force, but noted that “it would most likely be the opportunity to sell.”

“There are two channels outside the very short -term perspective that should lead to dollar weakness,” Vamvakidis explained. “First, if you have the US against the rest of the world in the trading war scenario, then the US will eventually suffer more because … if you compare it with the rest of the world, the rest of the world is greater.

Like Brussels and Rochester, he predicted that the euro would eventually be raised by Trump’s trade war. While the United States claims to be a policy that will probably be negative for its currency, Europe focuses on “growing policies,” Vamvakidis said.

“Germany announces a massive fiscal incentive, Europe announces great protection costs, plans for structural reforms focus on growth and competitiveness,” he said. “So far, these are plans, but we didn’t even have (before), and coming from Germany, the economy with the weakest growth in the eurozone and the biggest economy in the eurozone and the most violent fiscal policy in the eurozone, this is really a change in games.”

Vamvakidis said his team sees that the euro reaches $ 1.15 and $ 1.20 in 2026.

Bank of America Vamvakidis also claimed British pound Has potential for growth when tariffs on Trump enters the game, noting that the US president has directed threats of tariffs in the EU During the allotment of this Britain can be deprived of.

“In addition, there is a positive season for sterling in April,” he said. “So, in the short term, we must see how Sterling is doing relatively well. For the year, we also love the dollar. Against the euro, it depends on the implementation of EU reforms.”

In the note at the end of March, Maybank analysts up revised their forecasts for the British pound, saying that by the end of the year they see that Sterling scored $ 1.26 before growing up to $ 1.31.

“We … becomes more backed on GBP, planning to increase defense costs, maintain fiscal discipline and mitigating the risks of stagflation,” they said. “We keep the confidence that GBP will be more supple on the basis that the UK as an economy focused on services is less likely to affect Trump’s trade policy. As a close US ally, it will probably also be deprived of significant Trump administration.

Maybank analysts also predicted up for New Zealand dollarGiving the currency a goal of $ 0.58 against green by the end of 2024 – by 2.1% of the current level.

“The NZDUSD is being created, which predicts further recovery,” said Maibank’s analysts, adding that the currency forecast remained positive because the economy of New Zealand has resumed, and the pace of weakening was probably slowing.

“Both Australia And New Zealand also has stronger balances than most other Western countries – in particular much less debt to GDP, “Alex King, former FX trader and founder of personal finance platform Money for generationsaid e -mail.

“This means that they have a much more stock for potential stimulating measures and (this) another factor, making them both attractive places for investors, which helps strengthen their currency.”

He added that the economy of both countries was “much less related to the story of the trade war.”

“To combat the tariff effect, China is considering stimulating measures to enhance its own economy, and this is considered as positive for the economy of Australia and New Zealand, both of them usually carry out trade surpluses with China,” King CNBC said.