Top US officials arrived in the Chinese capital on Tuesday ahead of high-level trade talks as the world's two largest economies attempt to hammer out a deal ahead of a March 1 deadline to avoid another escalation of tariffs. Washington is expected to keep pressing long-standing demands that Beijing make sweeping structural reforms to protect American companies' intellectual property, end policies aimed at forcing the transfer of technology to Chinese companies and curb industrial subsidies.
"The multiday rally in the US dollar abated amid tentative cooling in global risks," said Joe Manimbo, senior market analyst at Western Union Business Solutions. The dollar ceded ground to the euro, which was up 0.16 percent at $1.1294, and to the British pound, up 0.3 percent, last at $1.2888. Against the Japanese yen, another safe-haven currency, the dollar was little changed, slightly weaker at 110.45 yen.
The dollar earlier in the session had been trading higher as US lawmakers reached a tentative agreement on border-security funding that might help avert another government shutdown, due to start on Saturday.