The US dollar traded weak as it resumed trading in the opening session of the Asian session on Thursday morning after the market scrutinized the published FOMC meeting minutes.
Several Federal Reserve (Fed) officials suggested that an interest rate cut could occur as early as July.
Meanwhile, the majority of FOMC members still expressed concerns about inflationary pressures expected to be affected by the impact of President Donald Trump's global tariffs.
Further interest rate cuts by the Fed remain expected to be implemented by the end of 2025.
Meanwhile, global tariff developments are still in focus as the 90-day tariff moratorium since April ended yesterday.
However, President Trump extended the moratorium to August 1.
Japan and South Korea are now facing the threat of 25% tariffs on all imported goods if they fail to reach a negotiation agreement before the August 1 deadline.
Japanese exports to the United States (US) reach $148 billion a year, including automobiles, automotive equipment and electronics, which account for 3% of the country's income.
Toyota has begun to express concern that its business is at risk of losing up to $1.3 billion in two months due to Trump's tariff threat.
Trump's tariffs have also reignited trade war tensions with China, the world's two largest economies.
In the New York session tonight, US unemployment claims data will be watched which could influence the current movement of the US dollar.
Despite showing a decline in the Asian session, investors are still wary of the risk of market volatility that threatens to disrupt the direction of price movements.
