The AUD/USD pair moves higher and advances toward the two-week high of 0.6350 in Thursday's European session. The Aussie pair strengthens as the US Dollar (USD) faces an intense sell-off, with traders becoming increasingly confident that the new suite of tariffs by President Donald Trump will lead to a United States (US) recession in the near term.
The US Dollar Index (DXY), which tracks the Greenback's value against six major currencies, is down more than 2% to near 102.00. This is the highest one-day correction seen in years.
On Wednesday, US President Trump unveiled his reciprocal tariff plan in which he announced a 10% baseline levy on all imports to the US, which will become effective from April 5. Additionally, Trump slapped different tariffs for each country, ranging from 10%-49%.
Source: FXStreet
