The US dollar traded positively on Monday after posting moderate gains last week with the market now focusing on the release of this week's FOMC meeting minutes report.
The currency king gained support after the US inflation report released showed it remained high despite continuing to decline and retail sales data was also strong.
It indirectly reinforces the view that the Federal Reserve (Fed) will continue to increase interest rates to ensure that inflation really falls to the target.
As a result, the dollar index managed to rise to its highest level since the beginning of January, in addition to being helped by hawkish statements from several Fed policy makers.
The main focus this week is certainly the minutes of the FOMC meeting that will be published early Thursday morning (Malaysian time) and the US preliminary estimate of gross domestic product (GDP) for the fourth quarter.
Following market developments earlier in the week, the Aussie and New Zealand dollars traded little changed after posting gains at the end of last week's trade that helped it pare some of its losses.
For kiwi dollar investors, the Reserve Bank of New Zealand's (RBNZ) policy meeting on Wednesday will determine the currency's next direction with new policy setting.
In addition, the euro and pound were slightly lower, with the market now turning its attention to the release of manufacturing and services data from the European Zone and the US on Tuesday.
The yen remained weak amid the strengthening of the US dollar and uncertainty about the new governor of the Bank of Japan (BOJ).
For information, trading in the United States on Monday is closed in conjunction with President's Day.
