New york: The dollar nursed steep losses against major currencies on Tuesday in a wild start to the week after US President Donald delayed the bombing of Iran's power grid, a move that allayed fear of a prolonged war in the Middle East.

According to Qatar News Agency, the dollar index, which measures the US currency against a basket of peers, rose nearly 0.2 percent to 99.35 after dipping to near a two-week low on Monday. This fluctuation in the dollar's value came amidst a backdrop of geopolitical tensions that have kept investors on edge.

Sterling eased 0.5 percent to 1.33925 USD after jumping nearly 1 percent on Monday. The euro also saw a decrease, down 0.2 percent at 1.1593 USD after gaining 0.4 percent in the previous trading session, reflecting the volatile nature of the currency markets in response to global political developments.

The Australian dollar fell 0.2 percent to 0.6993 USD in early trade, pulling back from a six-week high, while the New Zealand dollar was down 0.23 percent at 0.5845 USD. These movements highlight the sensitivity of the global currency markets to international events and the ongoing economic uncertainties.