FX.co ★ Dollar Holds Steady as Tariff Deadline Moved

On Monday, the US dollar index maintained a steady position at approximately 97. This stability followed President Donald Trump's announcement that his extensive reciprocal tariffs would be implemented on August 1. Treasury Secretary Scott Bessent elaborated that these tariffs would revert to April 2 levels for nations that have not secured a trade agreement with the United States by this date, effectively extending the timeline for trading partners to renegotiate terms. To date, only China, the United Kingdom, and Vietnam have managed to establish some form of agreement with Washington. The previous week saw the dollar plummet to its lowest level in more than three years, under pressure from escalating tariff concerns, increasing fiscal issues, and anticipations of more significant Federal Reserve interest rate cuts. Nevertheless, alleviating these concerns was the stronger-than-expected US jobs report. The economy generated 147,000 new jobs in June, exceeding projections of 110,000 and slightly improving May's figure of 144,000. This development helped alleviate recession worries and diminished the immediate pressure on the Federal Reserve to further reduce interest rates.