US Dollar Rises Amid Yen Weakness

The U.S. dollar has surged to its highest level in over six months, fueled by expectations of inflationary import tariffs under President-elect Donald Trump's policies, leading to a significant drop in gold prices. The Japanese yen has weakened against the dollar, with the USD/JPY pair climbing above 153.50 due to uncertainty regarding the timing of future interest rate hikes from the Bank of Japan (BoJ). This political and economic uncertainty in Japan, combined with the prospect of higher U.S. tariffs, is raising concerns about the impact on Japan's export sector. Meanwhile, European markets also saw declines, with the Stoxx 600 index experiencing its largest drop since August. Analysts at Deutsche Bank have warned that the anticipated tariffs could adversely affect the Eurozone's export sector as well. Investors are now looking ahead to the U.S. Consumer Price Index data for October, which could further influence market sentiment.