Forex Today: Attention shifts to US inflation data

The FX galaxy remained cautious ahead of the release of the key US inflation readings on Tuesday, although the Greenback managed to outperform its main competitors on the back of persistent trade concerns and the widespread offered bias in the risk-linked space.

Here's what to watch on Tuesday, July 15:

The US Dollar Index (DXY) climbed to new highs, piercing the 98.00 hurdle although running out of steam afterwards. The US Inflation Rate will take centre stage, seconded by the NY Empire State Manufacturing Index and the API's weekly report on US crude oil inventories. In addition, the Fed's Bowman, Barr, and Collins are due to speak.

EUR/USD experienced decent losses, which were sufficient to reach new three-week lows in the 1.1650 zone. The ZEW's Economic Sentiment will be released for Germany and the euro area, followed by Industrial Production figures in the region. The ECB's Buch is due to speak.

GBP/USD kept the trade in the lower end of its recent range, opening the door to a potential challenge of the 1.3400 area sooner rather than later. The BRC Retail Sales Monitor will be the only data release across the Channel alongside the speech by the BoE's Bailey.

USD/JPY has started the week in a positive mood, extending its march north and retargeting the 148.00 barrier. The Reuters Tankan Index is next on tap in Japan on July 16.

AUD/USD could not sustain the early bullish attempt, losing impetus and receding to the mid-0.6500s as the NA session drew to a close. The Australian docket includes the Westpac Consumer Confidence index.

President Trump's renewed threats targeting buyers of Russian oil weighed on the commodity, dragging prices of the American WTI to daily lows in the sub-$67.00 zone.

Prices of Gold briefly climbed to three-week peaks past $3,370 per troy ounce, although the Dollar's resilience seems to have prompted the yellow metal to surrender some of its gains later. Silver prices extended their rally and advanced north of the $39.00 mark per ounce for the first time since September 2011.