USD Strengthens on Hassett Trade Policy Expectations

The US dollar has gained momentum across major pairs as markets price in potential policy shifts following reports of Kevin Hassett's possible appointment to a key economic advisory role. EUR/USD declined 0.2% to 1.0520, while USD/CNY advanced 0.3% to 7.2450 amid renewed trade policy concerns. The dollar index climbed to 106.80, reflecting broad-based USD strength. EUR/PLN retreated from recent highs to 4.2850 as the zloty found support from improving regional risk sentiment. USD/INR held steady near 84.50, with the Reserve Bank of India's intervention limiting rupee weakness. Technical indicators suggest EUR/USD faces immediate resistance at 1.0550, with support at 1.0500. The appointment speculation has reignited focus on US trade policies, particularly regarding China relations, potentially supporting further dollar gains if confirmed.