Dollar Hits One-Month High on Lingering Rate Hike Chances

The US dollar has hit a one-month high as traders weigh the possibility of a Federal Reserve rate hike at its upcoming meeting.

A slim but lingering chance of a rate increase is keeping the greenback supported, despite falling oil prices easing some concerns over inflation.

According to CME FedWatch, expectations for a 25-basis-point rate hike from the Fed this week are pegged at 36.3%, up from 16% a week ago.

Investors will also be keeping an eye on US second-quarter GDP data and core PCE inflation, which could provide more clues about the health of the world's largest economy.