The U.S. dollar has strengthened slightly amid concerns over U.S. tariffs, as President Trump's shifting stance has continued to create uncertainty in the market.

Investors anticipate that the imposition of tariffs will lead to a resurgence in inflation, potentially prompting the Federal Reserve to adopt a more stringent monetary policy.

Meanwhile, the European Central Bank has signaled the possibility of further interest rate cuts after lowering rates by 25 basis points, as inflation in the Eurozone is expected to continue declining.

Source: Fxstreet