TOKYO,  - The dollar dipped on Wednesday as Canada signaled it was ready to make a concession to the United States to resolve their talks over reworking the North American Free Trade Agreement, though lingering anxiety over US-China trade tensions weighed.

China will ask the World Trade Organization on Tuesday for permission to impose sanctions on the United States in retaliation for Washington's non-compliance with a ruling in a dispute over US dumping duties.

The dollar index, which measures the greenback against six major peers, edged down 0.1 percent at 95.133 in early trading.

The dollar traded lower after two Canadian sources with direct knowledge of Ottawa's negotiating strategy said overnight Ottawa was ready to offer the United States limited access to the Canadian dairy market as a concession in negotiations to remake NAFTA.