Deutsche Bank: The risk of Fed independence and rising US debt become structural obstacles to the US dollar.

German bank analyst Antje Praefcke stated that the structural pressure factors facing the US dollar include the threat to the independence of the Federal Reserve and the continual deterioration of the US budget deficit. The dismissal of Federal Reserve Director Lisa Cook by US President Trump has raised new concerns about the independence of the Federal Reserve, with Praefcke saying that this is "crucial for maintaining the value of the currency." Praefcke said that the central bank must make difficult decisions to address economic imbalances. In addition, the US dollar is also facing concerns about the sustainability of US debt. Trump's tax and spending bills may end up being more expensive than currently planned. She said that while some tax breaks should be temporary, past experience shows that it is difficult to reverse them when they are near expiration.