The dollar was headed for a steady week and a quarterly loss next week as concern about tariffs slowing U.S. growth has pushed down U.S. yields, stocks and the currency. Markets are on edge about U.S. President Donald Trump\'s pledge to announce sweeping new tariffs next week, which could contain trade into the weekend. He already said 25% levies on imported cars would take effect on April 3. The dollar\'s decline over the past few months has confounded market expectations for a higher U.S. currency under Trump\'s tariffs, wiping out long dollar positions and leaving traders unsure how to position or react as he upends trade relations. If punitive broad-based tariffs are imposed on the EU ... we would expect the EU to fight back and announce countermeasures. In some of the major currencies today, the yen was marginally firmer and set for a quarterly gain of just under 4%, at 150.81 per dollar - mostly unruffled by a sticky Tokyo CPI reading. The euro at just below $1.08, was headed for its largest quarterly rise in more than a year, gaining more than 4% since the start of 2025 on a combination of peace prospects in Ukraine, dollar weakness, and a leap in benchmark German yields. The sterling was marginally higher by 0.02% against the USD at $1.2947. The Dollar Index was trading at 104.28 The Indian rupee opened stronger with a gap of almost 13 paise at 85.65/66 against its previous session’s close of 85.78/79 and is expected to trade between 85.50 – 85.80 band today.
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