Analyst: The dollar is falling, the market's further reaction to Trump remains to be seen

Before Trump delivered his inauguration speech, the US dollar had already fallen by more than 1%, due to news that he would issue a memorandum instructing federal agencies to investigate and strive to improve the persistent trade deficit. Kristina Clifton, an economist at the Commonwealth Bank of Australia (CBA), said that despite this, Trump did not impose any new or higher tariffs in his speech.

He reiterated plans to crack down on illegal immigration, reduce inflation by declaring a national energy emergency, end green new deals and revoke electric vehicle authorizations.

On Monday, U.S. markets were closed for Martin Luther King Jr. Day so full market reaction to Trump's speech will only be known several hours later. She added that expectations for new policy announcements this week may be too high in U.S political circles; therefore, the dollar might continue its decline.