Analysis: Trump's firing of Powell could cause the U.S. dollar index to fall by 5%

InTouch Capital Markets market strategist Sean Callow said that any move by the Trump administration to fire Federal Reserve Chairman Powell could seriously hurt the U.S. dollar. The move could depress short-term yields due to market expectations of a more dovish chairman being appointed, and raise the risk and inflation premium on long-term U.S. Treasuries. There is currently no historical data to refer to in order to assess the foreign exchange market's reaction, but he added that in the long run, the U.S. Dollar Index DXY could easily fall by more than 5%. (Golden Ten) [Odaily Planet Daily]