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📉 The dollar falls amid doubts about the Fed's independence

The dollar index fell back to around 98.9 on Monday, ending four consecutive days of gains. This decline comes after a federal prosecutor launched a criminal investigation targeting Federal Reserve Chair Jerome Powell, reigniting concerns over the central bank's independence.

🏦 Powell condemned these threats of legal action as mere "pretexts" aimed at forcing the Fed to align its monetary policy with the preferences of the Trump administration. He warned that such political pressure could weaken the central bank's ability to set interest rates based on economic fundamentals.

📊 The greenback also remains under pressure due to expectations of further rate cuts this year. The non-farm payroll report released on Friday showed job creation below expectations for December.

👀 Investors are now awaiting upcoming inflation data and the results of major banks to refine their outlooks. Meanwhile, markets are factoring in increased geopolitical risks, notably with escalating protests in Iran and ongoing uncertainty in South America.