The dollar index rose by +0.03% due to geopolitical risks in Europe. The US final-demand Aug PPI eased to +2.6% y/y. Markets expect a -25 bp rate cut at FOMC meeting. EUR/USD fell by -0.09% on geopolitical tensions. Gold prices closed mixed as Fed rate cut expectations increased.

The euro has support from ECB rate-cut cycle completion. Swaps show no chance of ECB rate cut. USD/JPY fell by -0.02% on BOJ officials’ rate hike possibility. Political instability in Japan limits yen’s upside. Precious metals settled mixed on dovish Fed expectations and geopolitical risks.

Gold prices supported by Chinese central bank purchases and geopolitical uncertainty. Political uncertainty in France and Japan driving demand for gold. Precious metals receiving support from fund buying of ETFs. News article does not contain any promotional or marketing content.

Read more at Yahoo Finance: Dollar Little Changed Ahead of the US August CPI Report