The US dollar fell to six-month lows against the euro, yen, and Swiss franc following President Trump’s announcement of new import tariffs.

The tariffs include a 10% levy on all US imports, with higher rates for specific trading partners. This has raised concerns about global economic growth, triggering market declines as investors flocked to safer assets like bonds, gold, and the yen and Swiss franc.

Despite stable labor market data, such as a drop in jobless claims, the tariffs led to a slowdown in the services sector.

The euro rose 1.74% to US$1.1037, while the dollar dropped 1.95% against the yen and 2.35% against the Swiss franc.

Analysts warn the tariffs could lead to economic stagnation and inflationary pressures, with Deutsche Bank cautioning about a potential crisis of confidence in the US dollar.