There are only a few hours left until the United States inflation data is released, and the US dollar is still showing a slow movement indicating the caution of investors adorning the market.
However, the currency king was trading slightly higher than its main rivals supported by risk-on sentiment.
The worsening Covid-19 situation in China has caused risk-sensitive currencies such as the Aussie and New Zealand dollars to pull back from earlier gains.
Following the progress of the United States mid-term elections, Republicans are getting closer to securing a majority in the House of Representatives.
Meanwhile, control of the Senate hangs in the balance, after the Democrats performed well enough to stop the Republican 'red wave'.
In the meantime, investors' focus continues to be on the release of US inflation data in the New York session which is expected to record a decline in October.
Looking at the current movement of European currencies, the pound traded flat amid investor caution, seeing it hover at 1.1390 against the US dollar.
The euro fell, failing to hold the $1 parity price level, with investors still clinging to confidence that the European Central Bank (ECB) will continue to raise interest rates.
