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Why the Dollar Hit a 3-Year Low on Monday

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The U.S. Dollar Index slid to a three-year low on Monday as investors worried about President Donald Trump 's threats to curtail the independence of the Federal Reserve .

Trump has criticized Federal Reserve Chair Jerome Powell 's handling of monetary policy and has recently threatened to fire him before his term ends in May 2026 .

The benchmark dollar index has declined about 5% since early April when President Trump shook global financial markets with his unveiling of sweeping tariffs on nearly every country.