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The Dollar is moving in a tight range due to fears of US trade and central trade
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The dollar hit a two-week low on Tuesday as concerns about the US-China trade dispute grew, boosting the Japanese yen and the Swiss franc as safe havens.
The United States on Monday announced criminal charges against Huawei Technologies of China, escalating the dispute with the world's largest telecom equipment company, which denies any wrongdoing. The announcement comes days before trade talks in Beijing will take place later this week.
The new news undermined investors' appetite for risk and caused a wave of Chinese equities to stop this month. The yen and the Swiss franc rose against the dollar.
Market participants are also focusing on the Federal Reserve's monetary policy meeting scheduled for January 29-30, as President Jerome Powell is expected to acknowledge growing risk to the US economy as global momentum slows.
Sterling fell ahead of an important vote on Tuesday in the British parliament aimed at breaking the deadlock over secession from the European Union.
The British currency rose 6 percent from its January 4 low.
In early trade in London on Tuesday, sterling fell 0.1 percent to $ 1.3142 but remained near a two-and-a-half-month high of $ 1.3218.
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