The dollar index is steadying under 98 mark on Tuesday following a sharp drop of over 0.5% in the previous session amid mounting concerns over impending tariffs and increasing worries about the Federal Reserve's (Fed) independence. Markets reportedly grapple with mixed signals from Fed officials regarding a potential July interest rate cut and lingering doubts about the central bank’s ability to operate free from political interference. US treasury secretary Scott Bessent launched a sharp critique of the Federal Reserve, stating that it’s time to “examine the entire institution and whether they’ve been successful.” The greenback also tracked a sharp decline in yields that continued to drop as the 10-year Treasury note plunged over six and a half basis points (bps) to 4.356%. Meanwhile, the dollar index that measures the greenback against a basket of currencies is holding at a one-week low of 97.70 following a sharp pullback from 98 mark yesterday.