Depreciation panic overwhelms the finance minister to stabilize the market. The dollar rebounds for a "one-day trip" before falling again.

Due to renewed concerns about so-called "debasement trade," the impact overshadowed the positive reiteration of the strong US dollar policy by US Treasury Secretary Bezent, causing the dollar exchange rate to fall again, abruptly ending the rebound on Wednesday. Data shows that the US dollar index fell by 0.3%, while precious metals such as gold and silver continued their record-breaking rally. Jeffrey Gundlach, CEO of DoubleLine Capital, stated in an interview that the US dollar has not been serving as a safe haven currency for some time, and investors now prefer physical safe-haven assets like gold. Earlier on Wednesday, Bezent sent a signal of support for the weakening US dollar, stating that "the US has always pursued a strong dollar policy." However, just the day before his statement, US President Trump's comments triggered a sell-off of the US dollar Trump expressed satisfaction with the weakening dollar, believing it would benefit US business development. Damien Loh, Chief Investment Officer of Ericsenz Capital, commented, "Bezent adopted some strategically vague expressions when discussing the US dollar issue. If the weak US dollar policy originally advocated by Trump is fully implemented, it could lead to a self-reinforcing downward trend in the market and get out of control. Therefore, Bezent intentionally softened these expectations, but I believe they still hope for a gradual weakening of the US dollar." Among the G10 currencies, the Australian dollar against the US dollar led the gains, rising by 0.7%; the New Zealand dollar against the US dollar rose by 0.5%; and the Swiss franc, after reaching its highest level since 2015 on Tuesday, rose by 0.4% again. The term "debasement trade" refers to the market's bet on the long-term decline in the purchasing power of the US dollar due to concerns about the uncertainty in US policy making, unsustainable huge fiscal deficits, and the increasingly isolated stance of the US. After an 8.1% decline in the US dollar index in 2025, the decline this year has exceeded 2%.