The dollar's decline, a financial reflection of Trump's chaotic policy and a double-edged electoral weapon

"The fall of the dollar, which has lost a fifth of its value against the euro since 2025, is the most tangible reflection of how money, through a series of shocks, has adapted to a worldthat of Donald Trumpwhere the old rules no longer apply. Conversely, the Republican's decision to nominate Kevin Warsh to chair the Fed is yet another sign that the White House regards Wall Street with respect."

"Currency has been (and despite everything, still is) the center of gravity of the economic system: the only banknote that no inhabitant of the Earth rejects and the global yardstick, from black market dealings to high finance. This exceptional status, described as an exorbitant privilege by French President Valery Giscard d'Estaing back in the 1960s, means it serves as a reference point and, in times of crisis, a refuge."

German and French soldiers flying toward the Greenland ice sheet contrast with the financial consequences of global politics. The dollar has lost a fifth against the euro since 2025, reflecting how money adapted to a Trump-era reversal of old rules. The nomination of Kevin Warsh to chair the Fed signals White House regard for Wall Street. Tensions between Europe and the United States add to a deeper rupture that includes a trade war and attacks on Federal Reserve independence. Dollar and gold movements show concern about political power plays and a potential dollar fall. Currency remains the global yardstick and crisis refuge, but the term 'debasement' now describes the dollar, prompting investor diversification.

Read at english.elpais.com