Dollar gain ground to other major currencies

The Dollar is gaining ground to other major currencies in early trading on Wednesday, as the mood on markets shows signs of leaning more towards risk aversion. Investors are looking for the safety of the Dollar as Sino-American tensions once again threaten to escalate and derail the positive sentiment that has prevailed over the last few days. The latest focus of tension between the world’s two largest economies is arising as China prepares to implement a new security law in Hong Kong and the US hints at retaliating with sanctions. Such an escalation is likely to hinder risk appetite, increasing the appeal of refuge assets.