U.S. Dollar Declines On Trade Deal Optimism

(RTTNews) - The U.S. dollar weakened against its major counterparts in the New York session on Friday as investors looked ahead to discussions between the U.S. and China scheduled for this weekend.

U.S. President Donald Trump said on Thursday that the meetings with China on trade and economic issues could be "very substantive" and lead to tariff reductions.

Elsewhere, U.S. Commerce Secretary Howard Lutnick told CNBC that dozens of trade deals will be rolled over the next month, but a 10 percent tariff imposed on most countries will likely stay.

A Bloomberg report citing people familiar said the U.S. is hoping to slash its China tariffs to below 60 percent from the current level of at least 145 percent during the weekend talks.

However, President Donald Trump said in a post on Truth Social that a higher "80% Tariff on China seems right."

The greenback fell to 0.8269 against the franc and 144.82 against the yen, from its early fresh 4-week highs of 0.8341 and 146.18, respectively. The currency may challenge support around 0.80 against the franc and 140.00 against the yen.

The greenback dropped to 1.1292 against the euro and 1.3322 against the pound, from an early 4-week high of 1.1196 and a fresh 3-week high of 1.3211, respectively. The currency is poised to challenge support around 1.15 against the euro and 1.36 against the pound.

The greenback declined to 0.6432 against the aussie and 0.5920 against the kiwi, from an early 8-day high of 0.6371 and more than a 3-week high of 0.5870, respectively. The currency is likely to locate support around 0.66 against the aussie and 0.62 against the kiwi.

In contrast, the greenback climbed to more than a 3-week high of 1.3944 against the loonie. The currency is seen finding resistance around the 1.41 level.