# Dollar dives as bull case weakens but some investors expect a bounce

> The dollar is down about 5% since the January inauguration of President Trump and sits at a four-month low. Tariff headlines have fed worries about US growth, while fiscal spending in Europe has brightened the outlook for the euro area.

- Date: 2025-03-07 · published 2025-03-07T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/9707-dollar-dives-as-bull-case-weakens-but-some-investors-expect-a-bounce
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md), [Soybeans](https://feedsoft.ai/c/SOY.md)

## Why it matters

A weaker dollar supports US grain and oilseed export competitiveness and lifts dollar-denominated feed prices. Tariff uncertainty adds downside risk to US trade flows, so the net effect on feed prices is mixed.

## Read by commodity

- DXY: bearish ▼
- SOY: neutral
- EURUSD: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| DXY | 2025-03-07 | 5 | -1.8% | -3.2 | Tariff-driven US growth worries and improved euro-area outlook explain the dollar's slide to a four-month low. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2022-11-07 | [Euro, sterling bounce, dollar drops as investors cash in](https://feedsoft.ai/events/6252-euro-sterling-bounce-dollar-drops-as-investors-cash-in.md) | -2.9% | -3.2% |
| DXY | 2024-09-05 | [Investor bets shift as dollar weakens with looming Fed rate cuts](https://feedsoft.ai/events/28220-investor-bets-shift-as-dollar-weakens-with-looming-fed-rate-cuts.md) | +0.2% | -0.8% |
| DXY | 2021-04-06 | [Yuan edges up as investors catch up with dollar weakness after holiday](https://feedsoft.ai/events/47811-yuan-edges-up-as-investors-catch-up-with-dollar-weakness-after-holiday.md) | -0.2% | -1.2% |
| DXY | 2025-09-01 | [Stocks hit fresh record high but US dollar weakens as Fed rate cut expectations gain momentum](https://feedsoft.ai/events/23517-stocks-hit-fresh-record-high-but-us-dollar-weakens-as-fed-rate-cut-expectations.md) | -0.1% | -0.1% |
| DXY | 2023-11-23 | [Gold up on weaker dollar as investors wait on Fed rate path](https://feedsoft.ai/events/33078-gold-up-on-weaker-dollar-as-investors-wait-on-fed-rate-path.md) | -0.4% | -1.1% |
| EURUSD | 2022-11-07 | [Euro, sterling bounce, dollar drops as investors cash in](https://feedsoft.ai/events/6252-euro-sterling-bounce-dollar-drops-as-investors-cash-in.md) | +4.5% | +6.1% |
| EURUSD | 2024-09-05 | [Investor bets shift as dollar weakens with looming Fed rate cuts](https://feedsoft.ai/events/28220-investor-bets-shift-as-dollar-weakens-with-looming-fed-rate-cuts.md) | -0.6% | -0.3% |
| EURUSD | 2025-03-26 | [Why do we expect further weakening of the US dollar? - AP Institutional \| Invesco](https://feedsoft.ai/events/25776-why-do-we-expect-further-weakening-of-the-us-dollar-ap-institutional-invesco.md) | -0.0% | +6.1% |

## Sources

- reuters.com: https://www.reuters.com/markets/currencies/dollar-dives-bull-case-weakens-some-investors-expect-bounce-2025-03-07/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.
