The U.S. Dollar Index (DXY) has fallen below 100 for the first time in nearly three years, marking a sharp decline from its peak of 110 earlier this year. The index, which measures the dollar against a basket of six major currencies, dropped 1.8% to 99.01 on Friday, extending its year-to-date losses to over 8%. The decline represents a 10% drop since President Donald Trump's inauguration, with half of the losses occurring after the announcement of new tariffs on 'Liberation Day.' The depreciation is attributed to escalating trade tensions between the U.S. and China, including increased tariffs on Chinese goods, and a broader shift in investor sentiment away from U.S. assets. Analysts have described the trend as a 'Sell America' sentiment. The yield on 10-year Treasury bonds has risen above 4.5%, reflecting concerns over the dollar's stability. Federal Reserve official Neel Kashkari noted that the dollar's decline adds credibility to the view of shifting investor preferences. Gold prices have surged to a record $3,231 per ounce as investors seek alternative safe-haven assets amid uncertainty. Analysts warn that the dollar's decline could erode international confidence in the currency and U.S. economic leadership.