The US dollar edged slightly lower but traded in a range-bound manner as investors patiently awaited the US CPI data.
BlockBeats News, August 11th, the US dollar edged lower but remained within a narrow trading range as investors awaited the release of the US Consumer Price Index inflation data on Tuesday. Last week, the US dollar fell due to recent weak employment data and Mester's temporary appointment to the Federal Reserve Board, increasing the likelihood of a rate cut in the near future.
However, Tuesday's data may provide early signs of US trade tariffs pushing up inflation. Chris Weston of Pepperstone stated in a report, "All eyes will be on the extent to which core goods inflation is being impacted by tariffs and whether these factors will be more pronounced in the August CPI." (FXStreet)
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