The U.S. dollar wobbled on Friday en route to its fifth-straight monthly decline as traders braced for further uncertainty around trade policy and U.S. fiscal health, while awaiting pivotal inflation reports later in the day.

An intensifying auto industry price war in China has stoked fears of a long-anticipated shake-out in the world’s largest car market.

U.S. President Donald Trump on Tuesday said the EU’s move to set up talks was positive and that he hoped Europe would "open up" to trade with the U.S. even as he reiterated his threat to unilaterally impose trade terms if no agreement emerges.

New orders for key U.S.-manufactured capital goods plunged by the most in six months in April amid mounting uncertainty over the economy because of tariffs, suggesting business spending on equipment weakened at the start of the second quarter.

Consumer confidence rebounded in May, ending a five-month streak of declines, according to new data from The Conference Board.

Investors are fearing that projections for the U.S. debt mountain could increase further when a sweeping tax and spending bill goes through the Senate, with the risk that bond yields stay higher for longer.