Commerzbank warns the US dollar may weaken due to reduced investment in US Treasuries

According to ChainCatcher, citing Jinshi News, Commerzbank analyst Thu Lan Nguyen stated in a report that if unstable and unpredictable U.S. policies make foreign investors reluctant to purchase U.S. Treasury bonds, the dollar may weaken.

She pointed out that foreign investors have long provided capital to the United States, fueling its wealth growth. However, if concerns over lower returns lead to reduced investment, this could trigger a deleveraging process accompanied by a significant depreciation of the dollar.