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Dollar Inching Higher As Trade Tensions Flare

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The dollar is up slightly against all of its major rivals Tuesday afternoon. Trade tensions between the U.S. and China have flared again following some comments from President Trump

In an interview published Monday, President Trump told the Wall Street Journal it was "highly unlikely" he would delay an increase in tariffs on $200 billion worth of Chinese goods from 10 percent to 25 percent.

Trump also suggested the U.S. could slap 10 percent tariffs on iPhones and laptops imported from China.

The comments from Trump come just days before he is due to meet with Chinese President Xi Jinping at a G20 summit in Argentina later this week.

Reflecting a pullback in expectations, the Conference Board released a report on Tuesday showing a bigger than expected decrease in U.S. consumer confidence in the month of November. The Conference Board said its consumer confidence index dropped to 135.7 in November after rising to 137.9 in October. Economists had expected the index to dip to 136.5.

The dollar has climbed to over a 1-week high of $1.13 against the Euro Tuesday afternoon, from an early low of $1.1343.

France's consumer confidence dropped in November to its lowest level since early 2015, survey data from the statistical office INSEE showed on Tuesday. The consumer confidence index fell to 92 from 95 in October. Economists had forecast a score of 94.

The buck has risen to around $1.2740 against the pound sterling this afternoon, from an early low of $1.2819.

UK retail sales growth in November was greater than expected, though retailers are gloomy about activity in the next three months, a survey by the Confederation of British Industry showed on Tuesday. The monthly retail sales balance of the Distributive Trades survey rose to +9 from +5 in October. Economists had forecast +10.

The greenback has climbed to over a 1-week high of Y113.700 against the Japanese Yen this afternoon, from a low of Y113.414 this morning.

Producer prices in Japan were up 1.3 percent on year in October, the Bank of Japan said on Tuesday. That exceeded expectations for an increase of 1.2 percent and was up from the downwardly revised 1.1 percent gain in September.

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