Something different is happening to the U.S. dollar, which recently completed its worst first half of any calendar year since at least the 1970s: The dollar is strengthening this week, despite President Donald Trump’s ongoing tariff talk.

US stocks fell on Friday after President Donald Trump threatened a 35% tariff on Canada — a sharp escalation in an ongoing trade war. The Dow closed lower by 279 points, or 0.63%. The broader S&P 500 fell 0.

President Donald Trump threatened a 35% tariff on some Canadian goods and raised the prospect of increasing levies on most other countries, ramping up his trade rhetoric in comments that weighed on stocks and boosted the US dollar.