The U.S. dollar was hovering near seven-week lows against a currency basket on Wednesday amid growing expectations for a Federal Reserve rate cut in the face of increasing headwinds to the economy caused by trade conflicts.

The dollar index against a basket of six peers was little changed at 97.000 by 03:53 AM ET (07:53 GMT), within reach of an overnight low of 96.887, its weakest since April 18. The index has now fallen 1.3% from a more than two-year high of 98.371 touched on May 23.

The euro was up 0.14% at 1.1265, extending its gains to a fourth session.

Against the yen, the dollar edged higher to 108.23 yen per dollar, within striking distance of a near five-month high of 107.845 - its highest since Jan. 10 - hit during the previous session.

Source: Investing.com