Dollar Wobbles as U.S.-China Tensions Escalate

The dollar weakened against major currencies due to renewed U.S.-China trade tensions and a suspension of France's pension reform. Key market indices fluctuated amid mixed signals, with U.S. equities showing varied results. European currencies firmed against the dollar, while cryptocurrencies experienced a downturn.

The dollar slipped against significant global currencies on Tuesday as U.S.-China trade disputes reignited, and the euro strengthened following France's decision to delay a pivotal pension reform. The dollar fell 0.37% to the Swiss franc and 151.71 yen, reversing gains from the previous day.

Barbed trade measures between the U.S. and China, such as additional port fees and Beijing's countermeasures against U.S.-affiliated firms, clouded the market's outlook. However, leading analysts believe these tensions are not sustainable long-term threats for the global economy.

U.S. equities displayed mixed performances, while European currencies gained traction against the dollar on fiscal policy changes. Meanwhile, cryptocurrencies, including Bitcoin and Ethereum, faced declines in value, signaling broader market apprehensions.

(With inputs from agencies.)