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Trump imposes 25% tariff on imported medium and heavy trucks, dollar below 900 mark

Post time: 2025-10-20 views

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Hello everyone, today XM Forex will bring you "[XM Forex official website]: Trump imposed a 25% tariff on imported medium and heavy trucks, and the US dollar is below the 900 mark." Hope this helps you! The original content is as follows:

On October 20, in early Asian trading on Friday, Beijing time, the U.S. dollar index was hovering around 98.49. Last Friday, Trump softened his previous tough stance on trade, and the U.S. dollar index was boosted. It finally closed up 0.2% at 98.54, ending three consecutive losses. The benchmark 10-year U.S. Treasury yield closed at 4.0140%, and the 2-year U.S. Treasury yield, which is sensitive to the Federal Reserve's policy rate, closed at 3.470%. Spot gold hit a record high of $4,379 and then plunged nearly $130, eventually closing down 1.75% at $4,250.93 per ounce, but still recorded nine consecutive positive weeks; spot silver reached a new high in Asia, once approaching $54.50 per ounce, and then turned lower, once falling below the $51 mark, and finally closed down 4.24% at $51.86 per ounce. Trump and Putin planned to hold a meeting in Budapest, raising hopes of ending the conflict between Russia and Ukraine. WTI crude oil finally closed up 0.65% at US$57.24/barrel; Brent crude oil finally closed up 0.69% at US$61.26/barrel.

Analysis of major currency trends

U.S. dollar index: As of press time, the U.S. dollar is hovering around 98.49. The dollar has struggled all week as investors sought refuge in the Swiss franc and Japanese yen after President Trump renewed his threat to impose 100% tariffs on Chinese goods. Technically, if the U.S. Dollar Index manages to move back above the 98.50 level, it will head towards the nearest resistance, which is located in the 98.85–99.00 range.

Trump imposes 25% tariff on imported medium and heavy trucks, dollar below 900 mark(图1)

EUR: At press time, EUR/USD was hovering around 1.1663. European Central Bank (ECB) President Christine Lagarde shared her confident view, reiterating that interest rates are now at appropriate levels to counter any technical turbulence. If EUR/USD climbs above 1.1700, it will move towards the next resistance level of 1.1775-1.1790. src="/uploads/2025/10/bozja3q0if4.jpg" />

GBP: As of press time, GBP/USD is hovering around 1.3432. Earlier this week, the pound faced headwinds from risk aversion triggered by US-China trade tensions and weak UK jobs data. Technically, a break below the 1.3400 level will push GBP/USD towards the 50 EMA at 1.3370. If GBP/USD breaks below the 50 EMA, it will head towards the next support level at 1.3330–1.3350.

Trump imposes 25% tariff on imported medium and heavy trucks, dollar below 900 mark(图2)

Analysis of gold and crude oil market trends

1) Analysis of gold market trends

On Friday in Asian trading, gold hovered around 4243.89. Gold edged lower as a recent record-breaking rally appeared overstretched and physical demand eased after the holiday rush. Traders are bracing for China's third-quarter gross domestic product (GDP) data later on Monday, as well as September industrial production and retail sales reports.

Trump imposes 25% tariff on imported medium and heavy trucks, dollar below 900 mark(图3)

Technical: Analyzing gold from a technical perspective is a difficult task as the daily, weekly and monthly lines all point to an extremely overbought state. Additionally, setting bullish targets is a challenge as gold has hit new highs for five days in a row. Therefore, the round-number checkpoint levels may be viewed as potential profit-taking thresholds at $4,400, $4,500, and $4,600 respectively. On the downside, the upper limit of the broken ascending channel can be seen as the first support at $4,080, followed by $3,960 (20-day simple move moving average) and $3800 (midpoint of the ascending channel).

2) Crude oil market trend analysis

On Friday’s Asian session, crude oil was trading around 56.96. But oil prices posted a weekly drop of nearly 3% after the International Energy Agency (IEA) forecast a growing supply glut and after U.S. President Donald Trump and Russian President Vladimir Putin agreed to meet again to discuss Ukraine. Looking ahead to this week, investors will pay close attention to Trump's potential meeting with Chinese leaders and OPEC+'s production increase. If there is a breakthrough in trade talks, oil prices may rebound; conversely, if tensions escalate, Bank of America warned that Brent oil prices may fall below the $50 mark. Amid uncertainty, the crude oil market will remain highly volatile, and investors are advised to remain cautious.

Trump imposes 25% tariff on imported medium and heavy trucks, dollar below 900 mark(图4)

Technical aspect: From the daily chart level of crude oil, oil prices have fallen below the lower edge of the range, and the objective trend is downward in the medium term. Oil prices fell sharply in a single day, and the subjective and objective trend directions have been downward. The MACD indicator fast and slow line opens downward below the zero axis, indicating that short kinetic energy has the upper hand. The mid-term trend of crude oil is expected to be volatile and downward. The short-term (1H) trend of crude oil continued to fall to a new low of 56.80 after two trading days of minor fluctuations and adjustment. The moving average system diverges downward, and the short-term objective trend direction remains unchanged.

October 20, 2025 Foreign Exchange Market Transaction Alert

10:00 China’s third quarter GDP annual rate

10:00 China’s total retail sales of consumer goods in September year-on-year

10:00 China’s industrial added value above designated size in September year-on-year

14:00 Germany’s September PPI monthly rate

16:00 Eurozone August seasonally adjusted current account

22:00 U.S. September Conference Board Leading Indicator monthly rate

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