FOREX-Dollar falls on mixed trade war news

(New throughout; updates dateline, previous LONDON)
By Kate Duguid
NEW YORK, Nov 11 (Reuters) - The U.S. dollar was broadly
lower on Monday after President Donald Trump said over the
weekend that trade talks with China were moving along "very
nicely," but that the United States would only make a deal with
Beijing if it was right for America.
Trump on Saturday told reporters at Joint Base Andrews that
the talks had moved more slowly than he would have liked, but
China wanted a deal more than he did. The president also said there had been incorrect reporting
about U.S. willingness to lift tariffs on Chinese goods.
Officials from China and the United States last week said the
two countries had agreed to roll back tariffs already in place
in a "phase one" trade deal. The dollar index .DXY was down 0.18% last at 98.176.
Against the euro EUR= , the dollar was 0.14% weaker at $1.103.
Mixed trade war headlines have left investors frustrated and
confused, said Craig Erlam, senior market analyst at OANDA Corp.
"We swing from optimism to pessimism on a daily basis and never
feel any the wiser.
"This time it was Trump's turn to pour cold water on
suggestions that not only is a deal in the offing, but it comes
with the cherry on top that is the removal of tariffs. It's
difficult to say who stands to lose more from this deal falling
apart but this last-minute jostling does not inspire
confidence," Erlam said.
Although the U.S. dollar often operates as a safe-haven
asset in moments of political and economic uncertainty, it was
lower on Monday against the Japanese yen and the Swiss franc,
other traditional safe havens.
The dollar was 0.27% weaker against the Japanese currency,
last buying 108.98 yen JPY= , and 0.36% weaker against the
franc CHF= , at 0.994 per dollar. Those safe havens were in
favor as market participants reacted to the violent response to
protests in Hong Kong, where police fired live rounds at
protesters, with cable television and other media reporting at
least one person being wounded. The Chinese yuan weakened 0.36% to 7.011 per dollar in
offshore trade CNH= .
Disappointing economic data also hurt sentiment toward the
yuan, as China's producer prices fell the most in more than
three years in October, National Bureau of Statistics data
showed on Saturday, while the country's consumer prices rose at
their fastest pace in almost eight years. The British pound was up 0.84% at $1.288 GBP= despite the
warning issued by Moody's Investors Service on Friday that it
might again cut its rating of Britain's sovereign debt.