The dollar was falling as demand for safe havens wane on news of a ceasefire between Israel and Hezbollah, Swissquote Bank analyst Ipek Ozkardeskaya said in a note.
The dollar was also weighed down by increased market bets for another interest-rate cut by the Federal Reserve in December following the latest meeting minutes Tuesday, she said. Investors will continue to back a December rate cut if inflation data don’t exceed expectations and this could weaken the dollar further, she added.
The core personal consumption expenditures price data, the Fed’s preferred measure of inflation, are due at 10 a.m. Eastern Time along with third-quarter inflation figures in the second estimate of U.S. gross domestic product.
