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Dollar Weakens Against Major Currencies as Markets Eye Central Bank Decisions

The U.S. dollar weakened slightly on Tuesday, particularly against the Japanese yen, following the Bank of Japan’s decision to maintain current interest rates while planning to slow its balance sheet reduction in 2026.

Meanwhile, ongoing tensions between Israel and Iran, now in their fifth day, continue to create uncertainty in global markets. President Trump has expressed a desire for a diplomatic resolution with Iran while oil prices have risen due to the Middle East conflict.

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