- EPA Targets Engine Start-Stop Systems in Cars
By Tom Ozimek
The Trump administration is taking aim at automatic engine start-stop systems—technology installed in millions of U.S. vehicles to reduce fuel use and ...
- Republicans Release Sweeping Tax Plan, Key Component of Trump’s Agenda
By Andrew Moran
The House Ways and Means Committee, which manages taxes, released the full 389-page text of the long-awaited multi-trillion-dollar Republican tax plan on ...
- US Could Hit Debt Limit in August, Bessent Says
By Andrew Moran and Lawrence Wilson
The federal government is likely to exceed its statutory debt limit in August, when Congress is slated for a ...
- DHS Says House Democrats and Protesters ‘Stormed’ ICE Detention Center
By Tom Ozimek
A confrontation erupted Friday at a New Jersey detention center after three Democratic members of Congress and a group of protesters entered ...
- FEMA Confirms Acting Administrator Hamilton Has Been Replaced
By Jacob Burg
Cameron Hamilton, acting administrator of the Federal Emergency Management Agency (FEMA), has been terminated and replaced, the agency said on May 8.
Politico ...
- Army Presents Congress With Plan to Reorganize Fighting Forces, Adapt to Changing Battles
By Ryan Morgan
U.S. Army leaders fielded questions from lawmakers on May 7 over their latest plan to prepare the fighting force and streamline their ...
- FAA to Address Newark Airport Turmoil With Tech Upgrades, Staffing Push
By Bill Pan
The Federal Aviation Administration (FAA) said Wednesday it is taking immediate steps to address problems that have escalated flight delays and cancellations ...
- Bessent, Greer to Meet Chinese Officials in Switzerland
By T.J. Muscaro
Treasury Secretary Scott Bessent and U.S. Trade Representative (USTR) Jamieson Greer will meet with their Chinese counterparts this week.
The news was confirmed ...
- Trump Says ‘Never Say Never’ as Carney Tells Him Canada Not for Sale
By Noe Chartier and Matthew Horwood
At his first meeting with newly elected Canadian Prime Minister Mark Carney, U.S. President Donald Trump said his country ...
- Columbia University Lays Off Nearly 180 Staff After Federal Grant Revocations
By Rudy Blalock
Columbia University announced on Tuesday that it will lay off nearly 180 staff members after the Trump administration revoked more than $400 ...
- Trump Announces National Holidays for World War I and II Victories
By Rudy Blalock
President Donald Trump has expanded on his plans to alter the days honoring America’s participation in last century’s world wars by declaring ...
- United Airlines Cancels 10 Percent of Daily Flights From Newark Amid FAA Staffing and Equipment Failures
By Rudy Blalock
United Airlines cut 35 flights a day—10 percent of daily flights—from its Newark Liberty International Airport hub in New Jersey starting May ...
![Strong labor data and positive expectations about the incoming Trump administration pushed the U.S. dollar to a two-year high on Thursday. The U.S. dollar iIndex hit a high of 109.53 on Jan. 2, the first trading day of the year, and the highest since November 2022. The jump came as data released on Thursday by the U.S. Department of Labor showed that initial jobless claims hit an eight-month low, suggesting a robust labor market, which is a positive sign for the overall economy. The dollar index was trading slightly lower on Friday at 108.96 as of 08:30 a.m. EST. The dollar index increase is also supported by investor confidence in the upcoming Trump administration, which assumes power this month. According to a recent survey by consulting company Teneo, “global CEOs and investors are optimistic about the economic impact of a second Trump administration, outweighing concerns about tariffs, geopolitical tensions, and trade barriers.” Story continues below advertisement In fact, “50 percent of global CEOs are accelerating activities in areas such as domestic and international investment and hiring based on the outcome of the 2024 U.S. election,” it said. While the dollar strengthened, the euro and sterling declined on Thursday. The euro fell to its lowest level in more than two years while the sterling declined to its lowest in eight months. A Dec. 17 report from JP Morgan predicts the U.S. dollar to reach even new highs over the coming months. Related Stories How Major US Stock Indexes Fared Jan. 2 1/2/2025 How Major US Stock Indexes Fared Jan. 2 Americans Have Hopes Trump Will Deliver on Immigration, Economy, Safety: Gallup 1/2/2025 Americans Have Hopes Trump Will Deliver on Immigration, Economy, Safety: Gallup “November’s election outcome has given way to lower global growth expectations, wider growth gaps between the U.S. and the rest of the world, and higher terminal federal funds rate forecasts for 2025—the perfect trifecta of bullish U.S. dollar cyclical impulse,” said Meera Chandan, co-head of Global FX Strategy at the company. “These are early first-order reactions that may give way to deeper rethinks once the full set of Trump administration policies are known next year [2025], but for now, they constitute a solid economic rationale for carrying a long U.S. dollar stance into the first quarter of 2025.” JP Morgan sees the euro’s outlook as bearish, noting the eurozone is especially vulnerable to trade conflicts. And while sterling was the best-performing currency against the dollar last year, such an outperformance is not expected this year, it said. US Economy Performance in 2025 With President-elect Donald Trump set to take power in less than three weeks, there are mixed views about how things could shape up for the American economy. According to a Dec. 9 post by Morgan Stanley, markets are “bullish on Trump’s second term, hoping for tax cuts and better growth.” “We expect no net stimulus and a decent size hit from tariffs and immigration. This should be bullish for bonds as the Fed continues cutting, but could be a disappointment for frothy stocks,” it said. Regarding tariffs, the most likely outcome is a 20 percent hike on Chinese imports and on vehicles from Mexico and the European Union, Morgan Stanley said. Story continues below advertisement It predicts the U.S. Federal Reserve to continue cutting interest rates to a range of 3 percent 3.5 percent by the end of 2025. S&P Global is forecasting the U.S. economy to grow by 2 percent in 2025 and 2026, following an estimated growth of 2.7 percent last year. The company sees inflation to likely remain above the 2 percent level for “longer than we previously thought.” Goldman Sachs predicts the U.S. economy to “beat expectations” this year. “The U.S. economy is in a good place,” said David Mericle, an economist with the company. “Recession fears have diminished, inflation is trending back toward 2 percent, and the labor market has rebalanced but remains strong.” While Trump’s policy changes are likely to be “significant,” Mericle does not see these actions changing the trajectory of the economy substantially. Goldman foresees the Fed reducing interest rates to a range of 3.25–3.50 percent, with the U.S. GDP predicted to grow by 2.5 percent. There have been three consecutive quarters of economic growth in the first nine months of 2024—1.6 percent in the first quarter, 3 percent in the second, and 3.1 percent in the third.](https://www.usnn.news/wp-content/uploads/2025/01/US-Dollar-Index-Hits-Highest-Level-in-2-Years-Euro-Falls-jpg.webp "US Dollar Index Hits Highest Level in 2 Years, Euro Falls | USNN World News")
