This podcast discusses the U.S. dollar's performance in global markets during the first year of the Trump administration and potential future trends. The hosts analyze the dollar's decline in 2017, attributing it to factors like strong global growth and unfulfilled expectations of increased U.S. tariffs. They then compare this to the current political and economic climate, predicting a potential repeat of the 2017 decline due to factors such as the Fed's likely rate cuts and potential European fiscal expansion. The discussion also covers the impact of the new administration's fiscal and trade policies on the dollar and the equity market, highlighting the two-stage impact of fiscal developments observed in the previous administration. For example, the hosts note that the extension of the Tax Cuts and Jobs Act is expected to impact various sectors differently, with domestically oriented industries potentially seeing significant effects.
