#UScreditrating

The avalanche is gaining momentum. The downgrade of the US credit rating was another proof of the erosion of confidence in the dollar. And even though Scott Bessent called Moody's opinion a lagging indicator, and said that the Donald Trump administration could not have ruined everything in 100 days, the previous president was to blame for everything, you can't get away from the truth. Investors do not consider the United States to be a place where they can safely park their own money. This means that the upward trend in EURUSD is just beginning.

There is a growing consensus in the market that the unpredictable and unstable policy of the White House makes the US dollar less attractive. Despite the denial from Washington, speculators continue to believe that Donald Trump wants to get a weaker greenback in order to support the American manufacturing base. They continue to increase their shorts on the USD index.

According to Invesco, the combination of lower economic growth, higher inflation and uncertainty in US policy should keep the dollar in the black, even against the background of the Fed's neutral position. When the colossal stocks of assets issued in the United States are being disposed of, the company continues to believe that the peak of the USD index will continue for a very long time.