According to BlockBeats, on November 26, former President Donald Trump announced a 25% tariff on all products entering the United States from Mexico and Canada. This decision has led to a significant strengthening of the U.S. dollar, which saw its gains expand to 0.4%. In contrast, non-U.S. currencies experienced a broad decline, with the Canadian dollar and the Mexican peso suffering the most, the latter dropping by over 1.2%.
The impact of the stronger dollar was also felt in the commodities market, where spot gold and silver prices faced downward pressure. Silver, in particular, fell below $30 per ounce. The announcement and its immediate economic repercussions highlight the interconnected nature of international trade and currency markets, as well as the potential volatility that can arise from sudden policy shifts. The tariffs are expected to have wide-ranging effects on trade dynamics between the U.S., Mexico, and Canada, potentially influencing market trends and economic forecasts in the coming months.