Dollar Gains Ground Amid U.S.-China Trade Optimism

The dollar experienced its first weekly rise since March, driven by China's tariff exemptions for U.S. imports amid positive trade discussions between the two nations. Despite initial uncertainty, signs of a gradual easing of tensions have emerged, though full clarity on long-term economic impacts remains elusive.

The dollar posted its first weekly advance since March, buoyed by China's decision to exempt some U.S. imports from tariffs. This move has sparked hope for a resolution in the ongoing trade tensions between Washington and Beijing.

U.S. President Donald Trump hinted at reducing the tit-for-tat tariff exchanges earlier this week, promoting optimism in trade circles. Despite these positive signals, both parties remain divided on the characterization of the negotiations.

Although the dollar's recent gains offer hope, experts advise caution, pointing out the clouded economic outlook. The Japanese Finance Minister confirmed no talks on currency targets despite meetings with U.S. representatives, reflecting ongoing uncertainty in global economic relations.

(With inputs from agencies.)