Dollar rebounds on Trump tariff warning; stocks point lower
TOKYO, Nov 26 (Reuters) -The dollar rose against major peers on Tuesday after U.S. President-elect Donald Trump threatened Canada and Mexico with a 25% tariff on all imports into the United States.
Stocks were weak after strong gains globally in the previous session following fund manager Scott Bessent being nominated as Treasury Secretary, considered by investors as a voice for Wall Street in Washington.
"It's almost as if Trump wants to remind markets who is in control, after nominating Scott Bessent as Treasury Sec - a man markets expected to cool Trump's potency," said Matt Simpson, senior market analyst at City Index.
The dollar jumped 1.5% to 20.58 Mexican pesos MXN= early in the Asian day, and climbed 0.84% to C$1.4103 CAD=D3. It added 0.14% to 154.43 yen JPY=EBS.
The euro EUR=EBS slid 0.4% to $1.0453 and sterling GBP=D3 lost 0.24% to $1.25405.
The Aussie dollar slumped 0.6% to $0.6466.
Australia's stock benchmark .AXJO fell 0.24% and Japan's Nikkei futures JNIc1 lost 0.4%.
U.S. S&P 500 futures EScv1 pointed 0.2% lower following a 0.3% gain in the cash index .SPX overnight, when the small-cap Russell 2000 index .RUT also hit an all-time high.
World FX rates YTD http://tmsnrt.rs/2egbfVh
Asian stock markets https://tmsnrt.rs/2zpUAr4
Editing by Jacqueline Wong
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