U.S. Dollar Hits Five-Month Low as Germany Advances Stimulus Plan

Concerns over U.S. trade policies and optimism for Germany's fiscal stimulus drive currency market shifts.

The U.S. dollar has declined 6% against the euro since mid-January, reflecting growing skepticism about the economic impact of President Trump's protectionist trade policies.
Germany's constitutional court cleared the path for a parliamentary vote on a proposed 500 billion euro stimulus package aimed at infrastructure and economic growth.
The euro remains strong, trading near a five-month high, buoyed by optimism surrounding Germany's fiscal plan.
Central banks, including the Federal Reserve, Bank of Japan, and Bank of England, are expected to maintain current interest rates this week as they assess global economic uncertainty.
Treasury Secretary Scott Bessent acknowledged recession risks in the U.S., while February retail sales showed a modest rebound following a sharp decline in January.