The Reuters article titled “Dollar gains versus yen on US-China trade optimism; Kiwi climbs” discusses the U.S. dollar’s performance in early Asian trading on Monday, May 12, 2025. The dollar strengthened against the Japanese yen, buoyed by positive developments in U.S.-China trade negotiations. U.S. Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer reported “substantial progress” in talks with Chinese officials in Geneva, aiming to reduce the U.S. trade deficit and ease tensions between the two largest global economies. This optimism led to a slight increase in the dollar index, recovering from previous declines following tariff announcements by President Donald Trump in April. Additionally, the New Zealand and Australian dollars saw modest gains, while the euro and British pound experienced slight declines. Investors are now focusing on upcoming U.S. economic indicators, including the Consumer Price Index and retail sales data, to assess inflation and consumer behavior trends.

Source: Reuters