Asian Shares Slip as Trump Delays Tariffs; Dollar Weakens for Fifth Straight Month

Asian markets edged lower on Tuesday, weighed by investor caution despite U.S. President Donald Trump’s unexpected decision to postpone proposed 50% tariffs on European Union goods to July 9. The move provided some short-term relief, lifting U.S. futures, but failed to sustain momentum across Asian equities.

The MSCI Asia-Pacific Index outside Japan dipped 0.17%, with Japan’s Nikkei down 0.15% and China’s CSI300 off 0.06%. Hong Kong’s Hang Seng slipped 0.1%, and Shanghai’s Composite Index remained mostly flat.

Meanwhile, Nasdaq futures rose 1.26%, and S&P 500 futures gained 1.11%, boosted by optimism surrounding Nvidia’s upcoming earnings, where the tech giant is expected to post a 65.9% revenue jump.

Markets were largely subdued due to thin U.S. holiday trading and anticipation ahead of key Federal Reserve speeches and Friday’s U.S. core PCE data, which may shape expectations for future interest rate moves.

In currencies, the U.S. dollar extended its losing streak, heading for a fifth consecutive monthly decline—its worst performance stretch since 2017. The euro hovered near $1.14, while the yen strengthened to 142.18 per dollar. Analysts cite erratic U.S. trade policy, fiscal stress, and rising external debt as mounting pressure points for the greenback.

“The dollar’s weakening trend may be structural, not just cyclical,” said economist David Meier of Julius Baer.

Gold, benefitting from the dollar’s slide, held near record highs, last trading at $3,332.91 an ounce. Oil prices softened slightly, with Brent crude at $64.67 and WTI at $61.43, ahead of an anticipated OPEC+ production decision later this week.

Global markets remain on edge as uncertainty around U.S. trade policy, central bank signals, and inflationary pressures dominate investor sentiment.