Dollar’s ‘Relentless’ Slide Has Traders Bracing for More Pain

Traders in the $9.5 trillion-per-day currency markets are wagering on further losses in the dollar as US policy risks and a resurgent yen drag the world’s primary reserve currency to its weakest level in nearly four years.

The Bloomberg Dollar Spot Index is logging its steepest four-day drop since President Donald Trump unveiled his sweeping tariffs in April, and investors are paying the highest price on record to hedge against a deeper selloff. The greenback was already on its back foot entering January, coming off its worst year since 2017.