According to Jinshi data reports, Chris Turner, a strategist at the Dutch International Bank, stated that after tariffs drive up inflation and force the Federal Reserve to delay interest rate cuts, the dollar will experience several months of appreciation. Turner expects that trade tariffs will stimulate consumer prices to accelerate starting in August, limiting the Federal Reserve's ability to cut rates.
He predicts that the euro to dollar exchange rate will briefly retreat to the 1.13-1.15 range, while the yen to dollar exchange rate will fall to 145-150. This means that both the euro and the yen will decline by about 4%. Turner believes that the Federal Reserve may maintain interest rates until December, at which point the dollar may see a slight adjustment.