Tokyo: The US dollar rebounded in choppy Asian trade today after US President Donald Trump suggested the United States could impose tariffs on Canada and Mexico in the near future. Trump mentioned the possibility of tariffs around 25%, which could be announced on 1 February, but did not provide further details.

According to Oman News Agency, the dollar index bounced 0.6% to 108.65, having shed 1.2% overnight in what had been the sharpest daily loss since late 2023. The dollar climbed 1.2% to 1.4475 Canadian dollar, while adding 1.3% on the peso. The euro fell back to $1.0364 from an early top of $1.0434. The dollar regained 0.3% on the Japanese yen to 156.06, after earlier touching a five-week trough at 154.90. Additionally, the dollar added 0.3% on the Chinese yuan to 7.2847, with Trump having previously threatened China with tariffs of up to 60%.