The dollar hit a five-week low as investors await U.S. labor data. Inflation figures, Trump’s tariff legality, and Fed tension also impact. Markets predict a 25 basis-point Fed rate cut in September. Dollar down 2.2% in August. Nonfarm payrolls report expected Friday. Analysts foresee weaker dollar due to softening labor market.

French government faces confidence vote over budget cuts. Political risks may impact currency. U.S. trade policy negotiations watched closely. Court ruling on tariffs may not impact market. Concerns over Fed independence weigh on greenback. Fiscal dominance risks not yet materializing.

Dollar up 0.14% against yen after 2.5% August decline. Onshore yuan snaps six-day falling streak. PBoC signals willingness to strengthen renminbi. Chinese policymakers less concerned about growth risks. Market awaits U.S. labor data impact on Fed easing path. Political and trade risks influence currency markets.

Read more at Yahoo Finance: Dollar hits lowest since end-July ahead of US jobs data