Rabobank: Just What Does A World In Which The Dollar Isn't Reserve Currency Look Like?

The US is initiating trade actions with potential 25% tariffs on semiconductors and pharmaceuticals, impacting Ireland significantly. Trump may temporarily pause auto parts tariffs for companies relocating production to the US. The US is prioritizing trade deals with countries like Japan, South Korea, Australia, and the UK, aiming to create a closed trade loop mirroring its stance on China. Europe faces challenges as the US secures trade partners, and is again considering buying more US LNG as a solution. UK faces scrutiny over Chinese investment in infrastructure and potential labor unrest. Former Treasury Secretary Yellen criticizes Trump's policies, while also facing criticism for her own past financial decisions. An FT editorial and Bloomberg commentary critique Trump's trade strategies, with questionable assumptions about the dollar. US may use its power to appoint a Fed chair who can leverage dollar swap lines. Japan's rising yields and the Eurozone's trade deficits present challenges. The US is engaged in nuclear talks with Iran and considering a nuclear fuel agreement with Saudi Arabia.