The dollar nursed losses against major currencies on Tuesday as receding hopes for a preliminary trade deal between the United States and China hurt demand for the greenback.

There have been high expectations that the United States and China would sign a so-called “phase one” deal some time this month to scale back their 16-month long trade war.

However, the dollar took a hit on Monday after CNBC reported that China is pessimistic about agreeing a deal, which suggests a resolution to perhaps the biggest risk to the global economy remains elusive.

The dollar was a shade lower at 108.65 yen, following a 0.09% decline on Monday.

The dollar was quoted at $1.1072 per euro on Tuesday in Asia after falling to the lowest in almost two weeks.

Against a basket of six major currencies, the dollar index stood at 97.794, close to a two-week low.

Source : Reuters