Dollar regains ground

The dollar regained some ground on Tuesday as investors remained sceptical of a swift ​resolution to the war in the Middle East, even though US President Donald Trump delayed the bombing of Iranian power stations and ‌energy infrastructure.

Trump on Monday said that the US and Iran had held “very good and productive” conversations about a “complete and total resolution of hostilities in the Middle East”. Iran denied it had engaged in any direct negotiations.

Trump’s comments were “giving a breather to volatility at least, but it’s difficult to see ​that this is going to trigger a risk-on trend”, said Rodrigo Catril, currency strategist at National Australia Bank.