The dollar weakened significantly in light holiday trading, driven by growing concerns about the independence of the Federal Reserve. Investor anxiety heightened after White House economic adviser Kevin Hassett suggested that President Trump is contemplating removing Fed Chair Jerome Powell.

This volatility opens doors for the euro and gold, which are benefiting from the dollar’s struggles. As the economic landscape evolves, traders should monitor these developments closely, as they have the potential to reshape market dynamics in the near term.