The US dollar dipped down on Monday and gave up some of the gains made last week as investors assess the impact of US President Donald Trumps tariffs.

The dollar was hurt after Trump announced plans to double the steel and aluminum tariffs to 50%, while China and the US traded criticism and accusations of violating the recent trade agreement in Geneva.

The dollar fell 0.3% to 143.57 yen as of 04:39 GMT, giving up some of the 1% gains made last week.

Euro rose 0.1% to $1.1362, while sterling added 0.2% to $1.3485.

Aussie rose 0.3% to $0.6453, while the New Zealand dollar rose 0.4% to $0.5994.

The dollar index fell 0.1% against a basket of major rivals to 99.283.

The Trade War Impacts the Dollar

The US dollar suffered weeks of volatile trading due to Trumps changing tariff policies, amid persistent concerns about a US recession.

It fell 3% in the week after the Liberation Days tariffs in April, andfell 1.9% in the week after Trumps threats to impose 50% tariffs on EU goods.

The dollar had a transient recovery last week as the US resumed trade talks with the EU and a US trade court suspended Trumps tariffs, but a day later, the appeals court stayed the tariffs.

Goldman Sachs Warns Against Persistent Risks

Goldman Sachs expects that 10% tariffs will continue to apply on major US trade partners, in turn bolstering the sell America narrative as investors flee US assets.

And this week, the Senate will discuss Trumps tax reform bill, which could add $3.8 trillion to the US government debt pile in the next 10 years.

A particular sticking point in the bill in section 899, giving the US freedom to impose taxes on corporations and investors from countries that impose unfair taxes on US goods and companies.

Such a bill would massively hurt global investor sentiment and interest in the US market.