Dollar Plummets, Gold Hits All-Time High Amid Powell Dismissal Speculation

The US dollar has plunged to its lowest level in years amid speculation that President Trump may remove Federal Reserve Chairman Jerome Powell, a move that has unnerved financial markets. Statements from National Economic Council Director Kevin Hassett confirming Trump is exploring Powell's ouster have triggered a wave of dollar selling by hedge funds, leading to a sharp rally in gold—which hit a record high—and a sudden surge in Bitcoin. Investors are fleeing the dollar and seeking safety in gold and cryptocurrencies as concerns rise over the Fed's independence, Trump's trade tariffs, and broader US economic policy. Equity markets have also reacted negatively, with US stock futures and major tech names declining. Central banks and investors globally are increasing gold holdings, further supporting its price, while uncertainty over potential Fed leadership changes has led some analysts to warn of unprecedented risks to global financial stability. The situation reflects mounting anxiety about the US fiscal outlook and the possibility of a recession, with risk-averse investors shifting toward assets perceived as more stable.