The US dollar was seen trading at a 2-month high as the market now awaits the United States (US) consumer price index (CPI) data to be published in the New York session today (Thursday) to assess changes in the latest inflation figures.
For forecast figures, US inflation in September is expected to decrease to 2.3% from the previous month's level of 2.5%.
If the published data lives up to forecasts, it will show US inflation moving closer to the central bank's desired 2% target level.
The focus of the market early this morning was directed to the publication of the minutes of the FOMC meeting to examine more clear details of the direction of the Federal Reserve's (Fed) monetary policy.
Although there were initial doubts as to whether the 50 basis point interest rate cut was a mistake, the aggressive easing decision has been approved by the majority of Fed officials.
Following the latest US jobs report published last week, investors now see that the Fed will not take aggressive action in continuing to ease monetary policy.
After the minutes were published, the US dollar was seen to show no significant movement, instead remaining cautious as before.
Also in the New York session yesterday, statements by several Fed officials stole the market's attention.
Boston Fed President Susan Collins, San Francisco Fed President Mary Daly and Dallas Fed President Lorie Logan supported the 50 basis point interest rate cut last September which was seen as appropriate to the current economic situation.
The US dollar is still showing a gradual increase in value over several major currencies, but at a slow pace.
The market is ready to expect more vigorous price movement towards the end of the week driven by important economic data to be published.
