The US dollar stabilized in early Asian trading on Tuesday after US President Donald Trump said he had paused a planned military strike against Iran to allow negotiations aimed at reducing tensions in the Middle East.
According to Reuters, the move helped ease immediate geopolitical concerns and supported broader market sentiment following recent volatility across global financial markets.
The US Dollar Index, which tracks the greenback against a basket of six major currencies, held largely unchanged at 99.026.
The euro traded flat at $1.1650, while the British pound slipped 0.1% to $1.3427.
The Australian dollar also edged 0.1% lower to $0.7164, while the New Zealand dollar weakened 0.1% to $0.5868.
Against the Chinese yuan, the US dollar remained steady at 6.798 yuan in offshore trading.
Currency markets also found some stability after global bond markets calmed following a two-day selloff that had pushed yields sharply higher amid inflation and geopolitical concerns.
In cryptocurrency markets, Bitcoin rose 0.2% to $77,005.69, while Ether gained 0.8% to $2,131.91.
Analysts said investors continue to closely monitor developments in the Middle East, global bond yields, and central bank expectations for clues on future market direction.
