NEW YORK, March 30 -- As US stock markets tumbled this month, a surprising shift in investor behavior sent shockwaves through global finance - rather than flocking to the dollar for safety, traders abandoned it, fueling a sharp decline in the currency's value.

According to a Bloomberg report, the dollar, traditionally a safe haven during financial downturns, was declining even as investors sought stability elsewhere.

"It's unusual and very telling," said John Sidawi, a fund manager at Federated Hermes who helps oversee bond investments.

"The dollar, in an environment where it should be acting like a safe haven, is not."

This unexpected drop is linked to President Donald Trump's aggressive trade policies, which have disrupted global co...