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Dollar near the lowest level in a week before the Fed Chairman's testimony
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The dollar has stabilized near a one-week low against other currencies as markets await testimony from Federal Reserve Chairman Jerome Powell, who may boost risk appetite.
High-risk assets began a strong start week and China's currency hit a seven-month high on Monday after US President Donald Trump confirmed he would delay a planned increase in import duties from China.
Powell will appear before the Senate Banking Committee later on Tuesday. Market observers expect to highlight the Fed's sensitivity to asset prices and provide an optimistic assessment of growth prospects.
The dollar index stood at 96.43 after hitting a week low of 96.310 in Asian trading.
Sterling rose half a percent to $ 1.3152 and increased against the euro to 86.30 pence.
The euro was steady at $ 1.1363 after rising 0.2 percent on Monday.
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