Dollar Wavers Amid Market Uncertainty and Overseas Developments

The dollar weakened against the euro and yen amid uncertainty surrounding President Trump's tariffs. Optimism that tariffs will be flexible supported the dollar earlier. Consumer confidence in the U.S. declined, while German business morale improved. The Australian dollar rose due to tax cuts and relief measures.

The dollar saw a drop against the euro and yen on Tuesday, fueled by concerns over President Donald Trump's proposed tariffs, despite earlier optimism about their potential flexibility. This shift in the market follows a day of strength for the U.S. currency amid hopes of accommodating measures.

Trump signaled on Monday that not all tariff threats will take effect on April 2, with possible exemptions for some countries. While fears persist about tariffs adversely affecting the U.S. economy and inflation, recent weeks have shown signs of the dollar's stabilization.

In other developments, Germany's business sentiment rose, suggesting an economic rebound. Meanwhile, the Australian dollar benefited from tax reductions and cost-of-living relief efforts, aiming to regain voter approval. The anticipation of a fiscal policy statement in the UK and fluctuating Bitcoin values further add to the economic landscape.

(With inputs from agencies.)