USD traded mixed against other major currencies in the European session on Wednesday, as investors awaited the unveiling of U.S. President Donald Trump's tariff plan later in the day.
The U.S. currency eased versus AUD, GBP and JPY, rose versus CAD, and changed little versus CHF and EUR.
The U.S. Dollar Index (DXY), which measures the U.S. currency's value relative to a basket of foreign currencies, fell 0.11% from its previous close to 104.14.
The U.S. leader is set to announce his much-anticipated tariff plan in the White House Rose Garden at 16:00 EDT (20:00 GMT). Media reports suggest that multiple proposals are being weighed by the Trump administration, including a tiered system with flat rates for countries and a more targeted, country-specific approach. While the White House has stated that the tariffs will take effect immediately, President Trump has signalled openness to further discussions.
Uncertainty surrounding the U.S. reciprocal tariffs has contributed to volatility in financial markets in recent weeks, as investors worry about the impacts of higher levies on both U.S. and global economies.
Thus, the size, scale and timing of the new U.S. tariffs and the trading partners' responses to them remain the core focus for markets.