empty
InstaForex Loprais Team - Official participant of the Dakar rally
InstaForex Loprais Team - Official participant of the Dakar rally
This section is designed for those who are just starting their trading journey. InstaForex educational and analytical materials will meet your training needs. Our experts' recommendations will make your first steps to trading success simple and clear.
Start as Beginner
How to start trading
Useful information
Training and recordings
InstaForex innovative services are an essential element of productive investment. We strive to provide our clients with advanced technical capabilities and make their trading routine comfortable as we are recognized as the best broker in this regard.
Become Investor
PAMM System
ForexCopy System
Passive investments
Partnership with InstaForex is beneficial and top-tier. Join our affiliate programs and enjoy bonuses, partner rewards, and the possibility to travel with the team of the world-renowned brand.
Become Partner
Main Page
Partner Area
Advantages for Affiliates
Registration
This section contains the most lucrative offers from InstaForex. Receive bonuses when topping up an account, compete with other traders, and get real prizes even when trading in a demo account.
All Promo Campaigns
Bonuses
Contests
Events
Holidays with InstaForex are not only pleasant but also useful. We offer a one-stop portal, numerous forums, and corporate blogs, where traders can exchange experiences and become successfully integrated into the Forex community.
Full details
Forums
We are in social networks
Forex humour
Forex Portal
InstaForex is an international brand created in 2007. The company provides services for online FX trading and is recognized as one of the world's leading brokers. We have won the trust of more than 7,000,000 retail traders, who have already appreciated our reliability and focus on innovations.
Learn More
History
Why Choose Us
InstaSport
Regulation
Company News
Awards
InstaForex Stars
InstaForex Offline
Headquarters
Key documents
Social Responsibility
30.05.2025 12:50 AM
The Dollar Puts on a Brave Face Amid Adversity
Open trading account Open demo account

Don't look for a black cat in a dark room—especially if it isn't there. The verdict by the U.S. Court of International Trade declaring the White House's universal tariffs illegal has left financial markets stunned. Investors are now scrambling for answers: how will the U.S. dollar respond to a fundamental shift in market narratives? And will the Supreme Court uphold the administration's appeal?

White House officials are doing their best to maintain a brave front. National Economic Council Director Kevin Hassett stated that the court's decision was incorrect and expressed confidence that the appeal would be successful. Trade advisor Peter Navarro cited other legal provisions that supposedly justify the tariffs. The U.S. administration is pretending nothing extraordinary has happened, and everything will soon return to normal.

The popular "Sell America" strategy may also return if that happens. If not, the implications of repealing the tariffs need to be assessed. In April, tariff revenues hit a record $16.5 billion. The White House has assured that even more revenue will follow. Donald Trump and his team plan to use these funds to offset fiscal stimulus measures such as tax cuts.

Dynamics of Tariff Revenue to the U.S. Budget

This image is no longer relevant

According to the Congressional Budget Office, the "big and beautiful" tax-and-budget bill—as one Republican called it—is projected to cost $3.8 trillion over the next decade. If the tariffs are repealed, there will be no offsetting revenue. The government will have to plug the gap by issuing more Treasuries. As trust in U.S. assets declines, demand for Treasuries will also fall, creating serious challenges for Washington.

These are the core arguments of the EUR/USD bulls. Meanwhile, bears argue the opposite: the rollback of the White House's tariff policy will shift investor focus back to monetary policy divergence and growth differentials.

With the Federal Reserve expected to maintain high rates at least until September and the European Central Bank likely to begin cutting rates soon, EUR/USD should decline according to this logic. Yes, the European economy outpaced the U.S. in Q1, but this was mainly due to front-loaded imports into the U.S.—a temporary phenomenon. Its expected reversal in Q2 should benefit the U.S.

U.S. GDP and Consumer Spending Trends

This image is no longer relevant

This image is no longer relevant

However, the second estimate of U.S. GDP undermined this well-balanced bearish theory. The economy contracted by 0.2%, not 0.3% as initially reported. More critically, consumer spending grew by just 1.2%, down from the previously estimated 1.8%—the weakest result in nearly two years. If tariffs are already hitting U.S. consumers, the situation could rapidly deteriorate.

On the daily EUR/USD chart, bears' failure to break through the lower boundary of the fair value range (1.1200–1.1400) indicates their weakness. A bounce from the 1.1200–1.1225 support zone triggered the formation of long positions. It makes sense to hold these longs for now.

Marek Petkovich,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
All Analytics
Wave analysis
EUR/USD Analysis on June 3, 2025 The wave pattern on the 4-hour chart for EUR/USD has transformed into an upward structure and remains such. I believe there's no doubt that this transformation occurred exclusively
Chin Zhao
19:38 2025-06-03 +02:00
1360
Wave analysis
GBP/USD Analysis on June 3, 2025 The wave structure for GBP/USD continues to indicate the development of an upward impulsive wave pattern. The wave pattern is almost identical to that of the EUR/USD pair. Until February
Chin Zhao
19:32 2025-06-03 +02:00
1135
Breaking Forecast Trading Plan Cryptocurrencies USD/RUB Russian Economy Video Analysis
Trading Instruments
EURUSD GBPUSD USDCHF USDCAD USDJPY AUDUSD EURGBP EURJPY NZDUSD EURNZD Silver Gold #CL #USDX COVID-19 Bitcoin
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

The dollar cannot find a reason to strengthen

The CFTC report showed that expectations for a reversal in the dollar have not materialized. After three weeks of relative stability, during which the total short position
Kuvat Raharjo 19:16 2025-06-03 UTC+2

The Pound Rises Against All Odds

The manufacturing PMI in May came in above expectations, but that was where all the positivity ended — 46.6 points, still below the expansion zone, and there's no talk
Kuvat Raharjo 19:09 2025-06-03 UTC+2

USD/JPY. Analysis and Forecast

The USD/JPY pair is showing mixed dynamics: despite the general recovery of the US dollar, the Japanese yen is under pressure from intraday sellers amid a combination of negative factors
Irina Yanina 18:27 2025-06-03 UTC+2

GBP/USD. Analysis and Forecast

The GBP/USD pair is attracting sellers today, pulling back from yesterday's high. This pullback is associated with a moderate strengthening of the US dollar, which is exerting pressure
Irina Yanina 18:24 2025-06-03 UTC+2

Traders Didn't Believe the Japanese Regulator

The Japanese yen lost some ground against the US dollar after Bank of Japan Governor Kazuo Ueda hinted today that the central bank may continue to slow the pace
Jakub Novak 11:16 2025-06-03 UTC+2

Market startles monster

Over time, we get used to everything — the good and the bad. Investors have finally come to terms with the fact that they will have to build businesses under
Marek Petkovich 10:44 2025-06-03 UTC+2

Deteriorating U.S. Economic Conditions Bring Fed Rate Cuts Closer (Potential for Continued Decline in #USDX and EUR/JPY Pair)

Although the market has largely stopped reacting to incoming economic data—especially from the U.S.—and is more focused on the geopolitical and economic moves of Donald Trump, who is steering
Pati Gani 09:52 2025-06-03 UTC+2

Everything Is Still Working Against the U.S. Dollar

Despite U.S. President Donald Trump's efforts to secure more trade agreements, the U.S. dollar continues to decline sharply against several other assets as negotiations with China and Europe falter
Jakub Novak 09:09 2025-06-03 UTC+2

What to Pay Attention to on June 3? A Breakdown of Fundamental Events for Beginners

There are only two macroeconomic reports scheduled for Tuesday. Although the first report looks significant on its own and the second one is directly related to the U.S. labor market
Paolo Greco 06:53 2025-06-03 UTC+2

GBP/USD Overview – June 3: Trump Deals Another Slap to the Dollar

The GBP/USD currency pair surged upward again on Monday. Just as the British pound had started a correction and even consolidated below the moving average line, Trump once again announced
Paolo Greco 04:38 2025-06-03 UTC+2

Top analytics

Relevance up to 03:00 2025-06-04 UTC--4
EUR/USD. June 3rd. Waiting for EU Inflation Data
11:06 2025-06-03
Technical analysis
Relevance up to 02:00 2025-06-04 UTC--4
GBP/USD: Simple Trading Tips for Beginner Traders on June 3. Review of Yesterday's Forex Trades
08:50 2025-06-03
Forecast
Relevance up to 20:00 2025-06-03 UTC--4
Trading Recommendations and Analysis for EUR/USD on June 3: Trump and ISM Hammer the Dollar
03:57 2025-06-03
Trading plan
Relevance up to 01:00 2025-06-04 UTC--4
Intraday Strategies for Beginner Traders on June 3
07:48 2025-06-03
Forecast
Relevance up to 23:00 2025-06-03 UTC--4
Forecast for GBP/USD on June 3, 2025
05:17 2025-06-03
Technical analysis
Can't speak right now?
Ask your question in the chat.
Widget callback
Callback widget
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.