According to Bloomerg. No doubt the USD is losing in value in nominal terms against a basket of currencies as well gold, since the weekend.

Source: TradingEconomics.com, accessed 1/27/2026.

This correlation suggests a diminished confidence in the value of US dollar assets. Is this due to heighted inflationary concerns, or default related concerns? 5 year CDS values have risen in the past weeks.

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Source: Worldgovernmentbonds.com accessed 1/27/2026.

At the same time, the ten year break-even has registered lower:

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Source: Treasury via FRED, accessed 1/27/2026.

Breakevens are imperfect measures of inflation expectations, but for a quick and dirty measure, I count a risk premium associated with political uncertainty as a bigger contributor than higher expected inflation.

Oh, and consumer confidence (Conference Board) fell to a 11 year low.

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