The US dollar continues to struggle around the lowest level with the market now shifting its focus to the FOMC policy meeting which will take place early tomorrow (3.00am Malaysian time).
Heading into the European session, the dollar index that measures the greenback's strength against a basket of major currencies traded weaker at a 6-month low of 104.00.
Earlier, the currency king plunged heavily after being hit by the United States inflation data reading which showed a decline to 7.1% in November from 7.7% previously.
The streak, investors strengthened expectations for a slower interest rate hike by the Federal Reserve (Fed) at its latest policy meeting by 50 basis points.
Turning to major currency developments, the euro continued to maintain gains at the 6-month high level it reached in the previous session with the market's focus now also directed at the European Central Bank (ECB) policy meeting.
Meanwhile, the pound currency changed little following the publication of UK inflation data which began to increase more slowly than expected last month with a record of 10.7% from the highest peak of 11.1%.
Although it decreased, it did not have much impact on the interest rate outlook of the Bank of England (BOE) which will make a decision tomorrow (Thursday).
In addition, the yen continued to benefit from the weakness of the US dollar to rise to a 4-month high after US inflation data was released.
