Dollar Index Held in Tight Range Ahead of Key Inflation Data

The US Dollar Index has been trading in a narrow range, stuck between its 200-day Exponential Moving Average (EMA) near 99.50 and the 100.00 handle since late July.

This week's market data has been uneventful, with two releases showing little change: private hiring slowed to 8.25K from 11K, and existing home sales dropped 1.7% month-over-month (MoM).

Federal Open Market Committee (FOMC) meeting futures indicate a 50-50 chance of no action being taken at the upcoming September 16 meeting.

Looking ahead to this week's key events, the Consumer Price Index (CPI) on Wednesday is expected to show disinflationary pressures, while the Producer Price Index (PPI) on Thursday will provide insight into producer prices and margin absorption.