How much will the dollar go down?

The dollar fell to its lowest level since August last year. The dollar index fell to 95.7. In Bank of America claim: this is not the limit, in the near future, Trump may decide to devalue.
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According to BofA, Trump will decide on currency interventions under the slogan of stabilizing the economy. If the Fed’s transition to a reduction in interest rates is not enough, the likelihood of formal foreign exchange intervention will increase.
In 2018, the US economy grew by 2.9%, but by the end of the year it slowed down significantly. According to the forecast of the International Monetary Fund, the growth rate of the country's GDP in the next two years will decline. And according to the National Association of Economics and Business, a recession is likely by 2021.
The reasons are obvious: a trillion-dollar budget deficit, caused by a sharp increase in debt service costs and a sharp intensification of the trade war with China.
Last year, the Federal Reserve raised the rate four times in a row, citing the recovery of the American economy and, as a consequence, the uselessness of monetary incentives. This caused stormy indignation of President Trump, who declared the Fed a wrecking organization and the main threat to the American economy.
In March, the regulator refused to further raise rates. But this is not enough for Trump. According to him, if the Fed did not raise the rate in December, the Dow Jones index would be several hundred points higher and the economy would grow by 4% to 5% per year.
As the Goldman Sachs predicts, the Federal Reserve will cut rates by 0.25 percentage points in July and by another percentage point in September. But maybe immediately by 0.5 percentage points - if the situation in the economy deteriorates sharply.
If the dollar is cheaper, it will be more profitable for foreign buyers to purchase American goods. This will increase production and reduce the deficit in foreign trade. Trump constantly insists that China deliberately lowers the yuan, making exports cheaper and increasing the trade imbalance with the United States.

The information above cannot be considered as an investment advice and past results do not indicate future performance.
**Investors should have experience and understand the risks of losing all the initial investment.
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