The dollar index (DXY00) today is down by -0.61%. The dollar is falling today after President-elect Trump picked Scott Bessent as the new Treasury Secretary, who is seen as a fiscal hawk and favors less government spending and more gradual tariffs. Bessent’s nomination eases concerns about Trump’s inflationary agenda, as Bessent is expected to take a more gradual approach to policy. Today’s rally in the S&P 500 to a new record also reduces liquidity demand for the dollar. The dollar extended its losses after today’s US economic news showed the Oct Chicago Fed national activity index fell more than expected to a 9-month low.
The US Oct Chicago Fed national activity index fell -0.13 to a 9-month low of -0.40, weaker than expectations of no change at -0.28.
