Global stock markets were wobbly on Monday on fears of a global recession following US President Donald Trump's tariff announcement last week.
This followed a stock market slump last week with $6 trillion reportedly wiped off Wall Street.
The S&P 500 index was at its lowest level in trading, falling to a 14-month low.
The S&P 500 fell 0.23%, the Dow Jones fell around 0.91% while the Nasdaq Composite declined 0.10%.
Investors are betting on the risk of an economic recession that could lead to a US interest rate cut by the Federal Reserve (Fed).
The implementation of the tariffs sent the US dollar to its lowest level in six months, falling 0.44% to 0.85720 against the Swiss franc.
The dollar reversed early losses against other safe-haven currencies, rising more than 0.53% against the yen at 147.660, after falling more than 1.4%.
Marc Chandler, chief market strategist at Bannuckburn Global Forex, said the implementation of tariffs has left riskier currencies such as the dollar bloc and Scandies underperforming, while more common currencies such as the yen have outperformed.
President Trump has warned China of an additional 50% tariff if it retaliates against a 34% tariff on US imports.
Meanwhile, the European Commission has proposed a 25% tariff on US goods in response to Trump's tariffs on steel and aluminium.
Although the dollar is known as a safe-haven asset, it has been eroding amid uncertainty and guidance for US growth.
Investors have also increased bets on more aggressive Fed rate cuts this year.
