The U.S. dollar has declined 11% over the past year and over 2% in 2026, as indicated by the U.S. Dollar Index (DXY). Factors contributing to this decline include unpredictable White House policies, such as threats regarding Greenland, pressures to cut interest rates, and unfunded tax cuts, which increase national debt. These issues have led global investors to shift away from dollar-denominated assets towards safer alternatives like gold, reducing demand for the dollar. Investors must adapt to these macroeconomic trends to protect their portfolios.
