Dollar Falls As Prospect Of Tariff Talks Calms Global Markets

The US dollar fell on Tuesday while the euro rallied as stocks rebounded in Asia and Europe on hopes that U.S. President Donald Trump will enter negotiations over his sweeping tariffs that have roiled markets for three days.

Rises in both the Japanese yen and Swiss franc showed consistent appetite for safe-havens, however, as investors remain concerned about the potential for a global recession.

Currencies have been highly volatile in recent days as investors tried to work out which offer safety while markets sell off, and which economies might be worst hit.

On Tuesday the euro was last up 0.3 at 1.0931, down from an earlier rise of more than 0.7, after falling for the two previous days.

Currencies that often fare well when stock markets are rising also recovered, with the pound up 0.2 and the Australian dollar 1.1 higher after both dropped in the previous two sessions.