India, July 20 -- Better-than-expected inflation readings from the U.S aided and abetted the dollar's mild retreat during the week ended July 17.
Markets tempered expectations of a rate hike by the Federal Reserve amidst softer-than-expected levels of consumer price inflation and producer price inflation in the U.S. However, the fresh flare-up in the Middle East as well as the safe haven demand and crude oil price spike that followed, limited the dollar's decline.
During week ended July 17, the U.S. dollar inter alia declined against the euro, the British pound, the Australian dollar, the Canadian dollar, the Swiss franc as well as the Swedish krona. It however rallied against the Japanese yen.
As a result, the Dollar Index which measure...