Global shares edge up, but Wall Street drops
Correlation with dollar softens
Yen takes a breather from recent rally

LONDONNEW YORK, Jan 3 Reuters The dollar jumped on Tuesday as oil prices sank, while U.S. stocks bucked a global equities rally in a macropacked week that could offer a steer on when and where U.S. interest rates might peak.

The MSCI AllWorld index fell 0.2, dragged by losses in U.S. stocks. The Dow Jones Industrial Average ended little changed, the SP 500 dropped 0.4, and the Nasdaq Composite lost 0.76.

Losses in U.S. stocks were led by a 12.2 tumble in electricvehicle maker Tesla after it missed Wall Street estimates for quarterly deliveries. IPhone maker Apple Inc dropped 3.7 to its lowest since June 2021 following a rating downgrade due to production cuts in China.

The U.S. dollar firmed ahead of Wednesday39;s release of the minutes from the Federal Reserve39;s last meeting, with expectations they will signal more policy tightening is in store.

A higher dollar walloped oil prices, which also took a beating from concerns about slowing global economic growth, especially after data showed China39;s factory activity shrank in December.

We expect the December FOMC minutes to shed additional light on Fed officials39; policy views for 2023. Note that at the meeting, the Committee signalled broad expectations for a substantially higher terminal rate this year, analysts at TD Securities said in a note.

The dollar index jumped 0.94 to 104.64.

The euro…