Dollar Rises on Inflation Data Hopes
The US dollar strengthened slightly in Asian trade on Wednesday, driven by markets waiting for US inflation data to be released later in the day. The main focus is on whether this data will provide clues to the direction of Federal Reserve interest rates.
US inflation data is due out later on Wednesday, and investors are looking for any signs that might indicate a change in Fed policy. Last week's jobs report was softer than expected, which added to doubts about the direction of interest rates.
The US dollar index, which measures the strength of the greenback against six major currencies, rose 0.1% to 99.89. The yen fell 0.1% against the dollar to 159.44 yen, while the euro slipped 0.1% to $1.1534.
Oil prices increased in Asian trade, with Brent crude rising 0.9% to $89.69 a barrel after an attack on a cargo ship in the Bab el-Mandeb strait.