The US dollar index fell against a basket of currencies as tensions between the US and Iran, along with uncertainty over tariff policies, kept investors cautious.

Due to the decline in U.S. technology stocks, risk aversion sentiment has been triggered, but the drop has been somewhat limited. However, investors remain cautious about buying the U.S. dollar due to concerns over tariff policies, the independence of the Federal Reserve, and geopolitical factors including intervention actions against Iran. The demand from international investors to hedge against the risk of U.S. dollar depreciation faced by their U.S. assets continues to play an important role. The U.S. dollar index fell by 0.2%, remaining within its recent narrow trading range.