Currency Shifts Amidst U.S.-China Trade Tensions

The U.S. dollar slipped against the Swiss franc and Japanese yen as U.S.-China trade tensions escalated with new port fees. Meanwhile, France postponed a major pension reform, boosting the euro. Cryptocurrencies and the British pound saw declines as market strains impacted global exchanges.

The U.S. dollar fell in value against the Swiss franc and Japanese yen on Tuesday, reflecting growing U.S.-China trade tensions. The euro rose after France suspended a key pension reform. The dollar's decline came as additional port fees were imposed by both countries, impacting global trade sentiments.

According to Marc Chandler, chief market strategist at Bannockburn Capital Markets, the de-escalation in U.S.-China trade relations was overestimated. Beijing responded to U.S. measures by taking counteractions against subsidiaries of South Korea's Hanwha Ocean, complicating the economic landscape further.

In Europe, the euro benefitted from France's decision to delay pension reforms, indicating less fiscal austerity. This bolstered the euro against the dollar and the pound, while British economic data pointed to sluggish pay growth. Meanwhile, cryptocurrencies saw downturns with notable drops in bitcoin and ethereum values.

(With inputs from agencies.)