Dollar pulls back from six-week low

Dollar index briefly hits lowest since late April and recovers

NEW YORK, June 3 (Reuters) -

The U.S. dollar rose on Tuesday, rebounding from a six-week low against the euro, even as investors remained concerned about potential economic damage from the trade war waged by President Donald Trump's administration.
"We had a big selloff in the dollar and we have it bouncing back a bit today ... I don't think there has been a lot of fresh news to say the dollar has turned in any kind of meaningful way," said Marc Chandler, chief market strategist at Bannockburn Global Forex LLC.
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"I'd say the bounce is still fairly constrained, fairly limited," he said.
The dollar was up 0.9% against the yen at 144.00. The euro fell 0.6% to $1.1371, having briefly touched a six-week high of $1.1454. Data earlier showed inflation in the euro zone slowed below the European Central Bank's target of 2%, underpinning expectations for a rate cut later this week.
For the year, the dollar is down about 9% against the euro.
While global equity markets have broadly recovered from an early-April selloff in the wake of the on-again, off-again saga of Trump's tariff threats, the greenback remains pressured.


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