The dollar experienced varied movement as traders assessed the impact of imminent U.S. tariff announcements by President Donald Trump. Auto trade levies led to declines in the Canadian dollar and Mexican peso.
Rising optimism suggests Trump may be flexible about tariffs, although apprehension persists before his April 2 announcement. A 25% tariff on auto imports takes effect next week, sparking threats of retaliation from other nations.
The euro gained against the dollar, bolstered by German fiscal plans, as central banks, including the ECB, indicate a pause in rate cuts. Economic growth concerns persist, with trade tensions posing a risk to euro zone inflation.
(With inputs from agencies.)
