U.S. Dollar Rises Amid Easing Trade Tensions, Trump's Stance On Powell

(RTTNews) - The U.S. dollar strengthened against its major counterparts in the New York session on Wednesday, amid optimism about easing trade tensions between the U.S. and China and President Donald Trump appeared to soften his stance on Federal Reserve Chair Jerome Powell.

"I have no intention of firing him," Trump told reporters on Tuesday but reiterated he would like to see Powell and the Fed resume lowering interest rates.

Trump's attack on Powell, including calling him a "major loser" as recently as Monday, had led to anxiety about the Fed's independence.

The president also suggested he's willing to take a less confrontational approach to trade talks with China, predicting the current 145 percent tariff on Chinese imports will "come down substantially."

The greenback climbed to near a 2-week high of 0.8300 against the franc and an 8-day high of 143.49 against the yen. The next possible resistance for the currency is seen around 0.91 against the franc and 145.00 against the yen.

The greenback recovered to 1.1315 against the euro and 1.3249 against the pound. In the previous session, the greenback touched a 1-week high of 1.1307 against the euro and a 6-day high of 1.3233 against the pound. The currency is seen finding resistance around 1.09 against the euro and 1.26 against the pound.

The greenback advanced to a 6-day high of 1.3903 against the loonie. Immediate resistance for the currency is seen around the 1.40 level.

The greenback rose back to 0.6359 against the aussie and 0.5952 against the kiwi. In the previous session, the greenback touched a 6-day high of 0.6348 against the aussie and a 2-day high of 0.5936 against the kiwi. The currency is poised to challenge resistance around 0.61 against the aussie and 0.57 against the kiwi.