On August 18, 2025, the US dollar showed broad strength in global foreign exchange markets, particularly against the Japanese yen, Mexican peso, and New Zealand dollar. The dollar rose 0.5% against the yen, reaching an exchange rate of 147.93. The New Zealand dollar was the best performer among global currencies, gaining 0.33%, while the South Korean won and the dollar index also saw modest increases of 0.26% and 0.13%, respectively. Conversely, the Mexican peso and Polish zloty weakened by 0.28% and 0.27%. The Norwegian krone was the strongest currency against the US dollar with a 0.131% gain. Market activity was characterized by consolidation in the US dollar amid lower yields and steady US stocks, with investors awaiting new incentives and upcoming economic data such as Canadian CPI figures. The euro and British pound showed weakness, with the euro notably impacted by a significantly weaker trade surplus. The Japanese yen declined despite a drop in US yields. Overall, the US dollar's gains were supported by a retreat in expectations for US interest rate cuts.