Bank of Singapore: Trump Trade Turning Into Trump Fade

The video discusses the current state of the dollar, highlighting its struggle due to global reflation and potential policy mishaps. It explores the impact of fiscal policy and protectionism on the dollar, and examines the euro's strength amid election risks in Europe. The yen is discussed as a safe haven currency, with concerns about policy accidents potentially driving its strength.

What is one reason mentioned for the dollar's struggle to remain strong?

• American reflation turning into global reflation

• Increased interest rates in the US

• Strong economic growth in Europe

• High inflation rates in Japan

What could a policy mishap potentially lead to, according to the second section?

• Increased global trade

• Higher inflation in the US

• Risk aversion and weaker dollar

• Strengthening of the dollar

What is a potential consequence of a more protectionist policy stance by the US?

• Strengthening of the euro

• Increased trade with Asia

• Weaker dollar against reserve currencies

• Higher US economic growth

Why is the euro considered a safe haven despite internal strains?

• Because of election risks in Europe

• Due to high inflation rates

• Because of its status as a reserve currency

• Due to its strong economic growth

What is a key factor driving the yen's strength as a haven trade?

• Rising US bond yields

• Concerns over policy mishaps

• High inflation in Japan

• Increased Japanese exports