As expected, the Trump administration revealed significant cuts to the sweeping new tariffs due to go into place on April 2. This decision brought a collective sigh of relief from all corners of the financial markets. This decision has helped to reinforce an optimistic market mood, as numerous other important financial indicators have responded positively to the announcement. Traders took the weekend to evaluate these new tariff developments, resulting in bullish action across the currency and commodity markets.
On Monday, the EUR/USD remained firmly in the green, hovering around 1.0850 after posting losses for three straight days. This stability follows on a solid increase in business activity in the private service sector that was more pronounced in March than February. The GBP/USD pair rocketed with comeback force. It held onto most of those daily gains above 1.2950 in the morning European session on the support of better-than-expected UK economic figures.
In commodities, gold prices continued to find support above $3,020 on Monday, continuing to consolidate with the easing tariff tensions. This increasingly consistent performance speaks to traders’ guarded optimism as they react to the administration’s most recent maneuvers.
Dogecoin experienced one of the most drastic shifts in its market trend. In the middle of March, open interest fell to a close to four-month low. After experiencing a major drop, it has been on a consistent uptrend ever since. This trend reflects a welcome sign of investor interest as markets recover after the initial shock of the tariff announcement.