The US dollar had a quietly positive day to start the week, making ground against the majority of its major partners, including sterling and the euro. This came despite some smaller US data points coming out worse than forecast, as both the Empire State Manufacturing Index and the Industrial Production came in behind their expectations.
One area that saw the dollar drop was against the yen, as the Japanese currency finally found some traction of its own. Today has just the one influential release scheduled, which will undoubtedly be the focus. The Producer Price Index is due this afternoon, giving an indication of inflation levels. As a key area with regards to monetary policy this will be of particular interest to investors, while some smaller events could add to the mix.
An independent housing price index will give an idea on the health of the housing market, before a member of the US Federal Reserve is due to speak. As ever, investors will look to this for any indication as to policy and interest rate rises, as they try to gauge the longer term potential for either.