The dollar headed for its worst start to a year in over a decade yesterday, while stocks cemented their biggest losses in six weeks as US President Donald Trump added uncertainty to the market following stringent curbs on travel to the United States.

The Dow Jones Industrial Average fell 154.9 points, or 0.78 per cent, to 19,816.23, the S&P 500 lost 11.27 points, or 0.49 per cent, to 2,269.63 and the Nasdaq Composite dropped 28.34 points, or 0.5 per cent, to 5,585.38.

Nine of the 11 major S&P indexes were lower, with technology and consumer discretionary stocks weighing the broader index the most.

The S&P 500 healthcare sector, however, was last up 0.8 per cent.

MSCI’s gauge of the world’s top 46 stock markets slipped 0.15 per cent Tuesday, after suffering its largest loss in a month and a half on Monday.

European bourses also fell, dropping 0.3 per cent, after big losses on Monday.

MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.6 per cent while Japan’s Nikkei dropped 1.7 per cent, its biggest fall in almost three months.

Supported by signs of accelerating momentum in the global economy, most stock markets remained up on the month overall. MSCI’s ex-Japan Asian shares index was up 6.1 per cent this month while its index of world markets was up 2.6 per cent.

Benchmark German government bond yields edged higher as the eurozone posted better-than-expected inflation and growth data.

The dollar suffered broad losses, falling to its lowest against the yen since November 30 and its lowest against the euro since December 8.