The US dollar was steady on Tuesday, with the dollar index around 101.9, close to the 102 area. It has found it difficult to build on last week's gains that followed hot inflation data, with Treasury yields swinging in both directions and acting as the main driver.
Approximate levels in early trade: EUR/USD near 1.1220, GBP/USD near 1.3320, USD/JPY around 158.5, USD/CHF about 0.8260, AUD/USD near 0.6980 and NZD/USD around 0.5665. The 10-year US yield was roughly 5.1% to 5.15%.
Recent US data have shown consumer price inflation at 3.7% year on year, with core at 2.6%, while producer prices were reported up 6.3% annually. Even so, the Fed is in a communications blackout before its October 27 to 28 meeting, leaving markets with little new guidance.
The calendar on Tuesday includes UK labour data, where unemployment was expected near 4.9% and average earnings including bonuses around 3.8%, followed by US housing starts and building permits at 8:30 a.m. ET and pending home sales at 10:00 a.m. ET. UK CPI is due Wednesday, and flash PMIs arrive Friday. Next week brings both the Bank of Canada and the Fed.
Event-driven volatility often widens spreads, so traders should check their costs around releases. See our guide to order types.
Market commentary for information only; not trading advice. Figures are approximate, from published reports on 20 October 2026.