The US dollar struggled to find traction in the European session as investors focused on the release of key economic data in the upcoming New York session.
Against most major currencies, the dollar index, which measures the strength of the greenback, is trading higher at around 103.60.
Earlier, the currency king was pushed lower by weaker-than-expected job opening data (JOLTS) and US consumer confidence.
Next, in the New York session, private sector ADP employment data and US gross domestic product (GDP) will be published which can be a driving force for the USD.
In the European session, Spain saw consumer prices rise 2.5% year-on-year in August from 2.3% in July, in line with the 2.6% expected by analysts.
Markets are now looking to German inflation data to support an expected 25 basis point interest rate hike by the European Central Bank (ECB) at its September meeting.
The euro traded little changed at around 1.0860 against the greenback, while the pound hovered at 1.2630 against the US dollar.
Meanwhile, the yen weakened again with prices hovering at a nine-month low.
Bank of Japan board member Naoki Tamura continued to reiterate that the central bank will closely monitor the impact on the economy due to a weak yen when conducting policy.
Meanwhile, Australian inflation slowed to a 17-month low in July, strengthening the case for the Reserve Bank of Australia to keep interest rates unchanged at its next meeting.
The Aussie dollar traded slightly lower following the release of the data, followed by the New Zealand dollar trading also weaker.
