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• The dollar fell against the yen on Thursday as growing investor aversion to riskier assets hit equities and pushed down U.S. Treasury yields.

The U.S. currency dropped 0.45 percent to 112.68 yen, handing back its modest gains made overnight.

Global equity markets have been shaken and the dollar fell this week after an inversion in a part of the U.S. Treasury yield curve triggered market concerns about economic growth.

Adding to the jitters on Thursday was the arrest in Canada of a top executive of Chinese tech giant Huawei Technologies, fanning fears of a flare-up in tensions between China and the United States just as the two sides are supposed to be resuming trade negotiations.

"The dollar could remain under pressure until this month's Fed meeting as long-term Treasury yields may not be able to mount a rebound until the market sees the Fed's stance on policy and the economy," said Junichi Ishikawa, senior FX strategist at IG Securities in Tokyo.

"The recent reaction to the U.S. yield curve inversion appears a little hysterical, but the dollar will not be given the all clear sign until the Fed meeting is hurdled."

The euro was little changed at $1.1346 after retreating from this week's high of $1.1419 scaled on Tuesday.

The pound was a shade lower at $1.2723.

Sterling had sunk to a 17-month low of $1.2659 at one point on Tuesday after parliamentary setbacks for Prime Minister Theresa May.

• China’s export growth is expected to have cooled in November, although still in the double digits, as a slowing in global demand offset a months-long rush to ship goods to the United States ahead of a then-expected increase in tariffs.

China’s import growth likely moderated but remained in recent ranges, offering some relief to Chinese policymakers concerned about slackening domestic demand and economic disruptions from the trade row with the United States.

Chinese exports in November likely grew 10 percent from a year earlier, slower than the previous month’s 15.6 percent gain, according to the median estimate of 26 economists in a Reuters poll.

China’s import growth is expected to have eased to 14.5 percent in November from a surprise 21.4 percent jump in October.

• According to analysts at Bank of America Merrill Lynch, US earnings growth is likely to slow in 2019, even though the near-term outlook remains somewhat positive.

“The Standard and Poor’s 500 Index is expected to peak at or slightly above 3,000 before settling in at a year-end target of 2,900. We forecast earnings per share (EPS) growth of 5 percent, which would put the S&P 500 EPS at a record high of $170 next year.”

“Our U.S. equity strategists are overweight health care, technology, utilities, financials and industrials, and underweight consumer discretionary, communication services and real estate.”

• China said on Thursday that Canada and the United States had yet to clarify their reason for arresting the daughter of Chinese tech giant Huawei’s founder, in an incident that has dealt a blow to hopes of easing Sino-U.S. trade tensions.

The shock arrest of Meng Wanzhou, who is also Huawei Technologies Co Ltd’s chief financial officer, is riling authorities in Beijing and raises fresh doubts over a 90-day truce on trade struck between Presidents Donald Trump and Xi Jinping on the day she was detained.

Foreign Ministry spokesman Geng Shuang made the statement at a regular news briefing, adding that the Chinese consulate in Canada had been providing assistance to Meng.

• The summit between President Xi Jinping and his U.S. counterpart Donald Trump in Argentina was “friendly and candid” and would help to avoid further trade tensions, a senior Chinese diplomat said on Thursday, but offered no new details on the talks.

• China’s commerce ministry said on Thursday that the ultimate goal in Sino-U.S. trade talks is to remove all tariffs, adding that the recent meeting between U.S. President Donald Trump and Chinese President Xi Jinping had been successful.

In Argentina last weekend, Trump and Xi agreed to a 90-day truce that delayed the planned Jan. 1 U.S. hike of tariffs to 25 percent from 10 percent on$200 billion of Chinese goods while they negotiate a trade deal.

China has reached a consensus with the United States on agriculture, energy and cars, and what has been agreed will be implemented immediately, Gao Feng, spokesman at the commerce ministry, told reporters.