Bank of America: The negative impact of tariffs on the US economy and the US dollar is more significant

Bank of America analysts point out that compared to other countries and currencies, the negative impact of US tariffs on the US economy and the US dollar is more significant. The bank believes that tariffs may trigger retaliatory measures, and the scale of trade between the United States and the world exceeds that of other countries, making it more vulnerable to shocks. Data will determine the fate of the US dollar: if US economic indicators improve, investors may begin to ignore policy noise and support the US dollar; However, Bank of America expects data to be weak due to policy uncertainty that has led to stagnation in recruitment and investment plans, coupled with continued high tariffs. In addition, fiscal easing may push up borrowing costs.