66% of Investors Remain Optimistic Heading Into July Despite The Dollar’s Worst Plunge Since 1973

The mood in America is upbeat, but the dollar’s falling flat. According to our latest Bear and Bull Survey, 66% of Americans are maintaining a bullish outlook in July despite the US dollar plummeting more than 10% in 2025’s first half. This marks the currency’s worst performance since 1973 as investors reassess their exposure to American markets amid mounting concerns over trade policies and debt levels.

• The euro has surged 13% against the dollar, defying Wall Street predictions of parity, while German stocks have jumped 20%, and China’s Hang Seng has soared 24% year-to-date.
• Despite this, the S&P 500 has risen in seven of the past 12 months, with its index up 4.96% in June, while the Nasdaq 100 experienced a gain of 7% over the same period.

Forward-looking: While some analysts suggest the pace of decline might slow due to overcrowded bearish positioning, pension funds and central banks are actively reducing their US asset holdings. TPW Advisors’ Jay Pelosky noted that “The US itself is no longer the safe haven that it was in the past 20 years.” With at least five Fed rate cuts expected by year-end and continued policy uncertainty, the dollar’s struggles may be far from over.