The dollar strengthened broadly on Tuesday after U.S. tariffs on Chinese goods came into effect, triggering swift retaliation from Beijing and prompting a selloff in the Chinese yuan and the Australian dollar.

The U.S. dollar gave up some gains on Tuesday as China hit back with sweeping tariffs on imports of multiple U.S. products. The U.S. dollar index ( DXY) rose 0.15% to $108.6 after U.S. tariffs on Chinese goods came into effect, but later surrendered gains and was down 0.46% to 108.49 at the time of writing.

The U.S. dollar strengthened broadly on Tuesday as tariffs on Chinese goods took effect, prompting immediate retaliation from Beijing and a sell-off in the Chinese yuan and the Australian dollar.The C