“How has the stock market gone up in the face of all this?” It’s a question I’ve fielded repeatedly from investors unnerved by tariffs, the US government shutdown, debt and deficits, and other macroeconomic worries.
Where the worrywarts seem to have prevailed is in currency markets. The first six months of 2025 were the worst for the US dollar in more than 50 years. While it has rebounded since, the dollar’s value is still down for the year.
If you’re not a currency trader or planning a Tuscan holiday, does a weaker dollar matter? Well, it certainly has investment implications, both positive and negative. Here, I’ll focus on three asset classes that have been profiting from a weakened dollar in 2025, then contemplate the future for those areas and the currency.
This post originally appeared at Morningstar.