- Euro falls on automobile tariff fears
- Trump wants to push ahead with China tariffs -report
- Emerging market currencies drop
- Safe-havens such as Swiss franc, yen firm
- Graphic: World FX rates in 2018 http://tmsnrt.rs/2egbfVh
(Recasts, adds comment, U.S. data, FX table, updates prices, changes byline, dateline; previous LONDON)
The dollar rose for a second straight session on Friday on concerns about global trade conflict, this time between the United States and the European Union.
On the week, however, the dollar index, a gauge of the greenback's value against six currencies was still down 0.3 percent. Over the last two weeks, the dollar has fallen 1.3 percent.
The greenback had rallied late Thursday in a safe-haven move after Bloomberg News reported that U.S. President Donald Trump wanted to move ahead on a plan to impose tariffs on Chinese imports worth $200 billion next week.
That concern spilled over to the European Union after Trump also said the European Union's proposal to eliminate auto tariffs was "not good enough".
Shaun Osborne, chief FX strategist, at Scotiabank said the markets have a "distinct risk-off look" the day after Trump's comments.
"President Trump's pronouncements on Bloomberg late yesterday, which are critical of the...EU, willing to move on Chinese tariff...are adding to market concerns broadly," he said.
By late morning, the dollar index was up 0.1 percent at 94.810 .DXY The euro was down 0.2 percent at $1.1644 EUR= after losing about 0.3 percent overnight when a rise in Italian government bond yields put additional pressure on the currency.
The Japanese yen and Swiss franc also rose on safe-haven buying, with investors fearful about Europe's outlook. Trump has threatened to impose tariffs on cars assembled by German automakers Volkswagen AG
VOWG_p.DE , Daimler AG and BMW AG.Trump also threatened in an interview with Bloomberg on Thursday to withdraw from the World Trade Organization if "they don't shape up." Those remarks dampened any positive sentiment following negotiations over the North American Free Trade Agreement (NAFTA).
The cautious mood helped lift the yen against the dollar, which slipped 0.1 percent at 110.86 JPY= .
The Swiss franc rose for the sixth successive session versus the dollar, which fell 0.1 percent to 0.9670 franc CHF= .
Emerging market currencies fell. The Argentinian peso ARS=RASL , the world's worst-performing currency this year, was down about 1 percent against the dollar, which last traded at 38.00 pesos. On Thursday, the Argentine peso tumbled 10 percent, bringing month-to-date losses to 27 percent.
Argentina's central bank voted unanimously at an emergency meeting on Thursday to raise its benchmark rate to 60 percent from 45 percent.
======================================================== Currency bid prices at 10:54AM (1454 GMT)Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid Previous Change Session Euro/Dollar EUR= $1.1637 $1.1670 -0.28% -3.00% +1.1690 +1.1626 Dollar/Yen JPY= 110.8300 110.9600 -0.12% -1.63% +111.1100 +110.6900 Euro/Yen EURJPY= 128.97 129.50 -0.41% -4.59% +129.8400 +128.7600 Dollar/Swiss CHF= 0.9668 0.9689 -0.22% -0.77% +0.9695 +0.9654 Sterling/Dollar GBP= 1.2988 1.3008 -0.15% -3.88% +1.3028 +1.2961 Dollar/Canadian CAD= 1.3037 1.2979 +0.45% +3.67% +1.3070 +1.2973 Australian/Doll AUD= 0.7221 0.7263 -0.58% -7.42% +0.7267 +0.7208 arEuro/Swiss EURCHF= 1.1252 1.1308 -0.50% -3.74% +1.1314 +1.1255 Euro/Sterling EURGBP= 0.8957 0.8970 -0.14% +0.83% +0.8988 +0.8959 NZ Dollar/Dolar NZD= 0.6628 0.6655 -0.41% -6.46% +0.6661 +0.6625 Dollar/Norway NOK= 8.3474 8.3423 +0.06% +1.71% +8.3600 +8.3172 Euro/Norway EURNOK= 9.7145 9.7359 -0.22% -1.36% +9.7425 +9.7037 Dollar/Sweden SEK= 9.1250 9.1165 -0.20% +11.26% +9.1323 +9.0947 Euro/Sweden EURSEK= 10.6192 10.6410 -0.20% +7.93% +10.6510 +10.6030 <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^ G10 FX - MTD http//reut.rs/2Pm8Lm8^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
