Mitsubishi UFJ: Uncertainty in US policy raises doubts about the safe-haven role of the US dollar

On March 11th, Jinshi Data reported that Mitsubishi UFJ’s analyst Lee Hardman stated in a report that the policy uncertainty under the leadership of the Trump administration has intensified, leading to doubts about the safe-haven role of the US dollar. He mentioned that Trump’s comments on the economy having a transition period and his plans to implement further tariffs have put pressure on risk appetite. ‘If safe-haven sentiment continues to intensify, it remains to be seen whether the US dollar will further weaken along with the decline in US yields and the US stock market (a relationship that has been present since the beginning of the year), or whether the US dollar will start to receive more support from the rebound in safe-haven demand.’