REUTERS, New York

The US dollar rose against major currencies including the yen and euro as President Donald Trump rekindled trade tensions with new tariffs on Canada and other trading partners.

Trump issued a letter late on Thursday that said a 35 percent tariff rate on all imports from Canada would apply from August 1. The European Union was set to receive a letter by Friday.

The US president, whose global wave of tariffs has upended businesses and policymaking, floated a blanket 15 percent or 20 percent tariff rate on other countries, a step up from the current 10 percent baseline rate.

This week he surprised Brazil, which has a trade surplus with the United States, with duties of 50 percent, and hit copper, pharmaceuticals and semiconductor chips.

“There do appear to be some tariff jitters creeping in once again after Trump floating the blanket tariffs yesterday,” Michael Brown, market analyst at online broker Pepperstone in London, said.

“Overall the moves that we have seen in the FX space are relatively contained, and recent ranges seem to still be respected for the time being,” he added.

The US dollar was up 0.79 percent to 147.4 against the Japanese yen , on track to add nearly 2 percent for the week - the biggest weekly gain since early December. It was flat against the Swiss franc at 0.79695 franc.

The market reaction to the slew of new tariffs has been largely muted compared to the manic sell-off that followed April’s “Liberation Day” announcement, but investors remain on edge over the future of global trade and whether the August 1 deadline is final.

While the resurgence of tariff worries was helping support the buck, some traders remained sceptical about the medium-term outlook for the US currency which has come under severe selling pressure this year.