Dollar strengthens as Trump announces tariffs on Mexico and Canada

The U.S. dollar strengthened against major currencies on Tuesday after President-elect Donald Trump announced plans for a 25% tariff on imports from Mexico and Canada. The dollar rose over 2% against the Mexican peso and 1% against the Canadian dollar. This increase follows a period of decline for the dollar, which had been affected by Trump's nomination of Scott Bessent as Treasury Secretary. Bessent is viewed as a fiscal conservative who supports a strong dollar and tariffs. In other currency movements, the euro fell 0.6% to $1.043175, and the Australian dollar dropped 0.75% to $0.64555. Bitcoin traded at $93,577, down from its recent high of $99,830.