Dollar slips
The dollar slipped against most major currencies on Wednesday, weighed down by worries over possible delays to Donald Trump's tax reform plan and evidence of the US president's waning popularity.
The greenback had risen to a 3-1/2-month high against a basket of currencies in recent weeks, helped by expectations that Trump's administration would deliver tax cuts, after the US Senate approved a budget blueprint for such reforms.
But the Washington Post, citing unidentified sources, reported on Tuesday that Senate Republican leaders are considering a one-year delay in the implementation of a major corporate tax cut to comply with Senate rules.
Any potential delay in the implementation of tax cuts, or the possibility of proposed reforms being watered down, would tend to work against the US currency, analysts said.
“The initial phases of discussions within the House have brought up a lot of divisions and problems, so the House version itself is going to change before we've even got wind of what the Senate version is going to be,” said MUFG's European head of global markets research in London, Derek Halpenny.
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