Traders expect cautious U.S. approach to tariffs to reduce inflation risks
Dollar index close to twoweek lows
Mooted 10 levies on China far short of 60 threatened earlier

TOKYOGDANSK, Jan 22 Reuters The dollar struggled to regain ground against major currencies on Wednesday, hovering close to twoweek lows as a lack of clarity on President Donald Trump39;s plans for tariffs kept financial markets guessing.

Trump said late on Tuesday that his administration was discussing imposing a 10 tariff on goods imported from China on Feb. 1, the same day that he previously said Mexico and Canada could face levies of around 25.

He also vowed duties on European imports, without providing further details.

Despite those threats, a lack of specific plans from Trump39;s first day in office saw the dollar start the week with a 1.2 slide against a basket of major peers. It stabilized on Tuesday, ending flat after an attempted rebound fizzled, with U.S. officials saying any new taxes would be imposed in a measured way.

The dollar index , which tracks the currency against six top rivals, eased 0.1 to 108 on Wednesday, not far from the twoweek low of 107.86 it touched on Tuesday.

Tariffs have again grabbed the headlines overnight as Trump commented in the evening that his threat of a new 10 tariff on China was still on the table…, said Deutsche Bank39;s Jim Reid.

Trump39;s comments leave plenty of nearterm uncertainty even though the trade investigations from his day 1 executive…