Forex Today: Focus shifts to German inflation and Fedspeak

The US Dollar (USD) resumed its decline on turnaround Tuesday, leaving behind two daily advances in a row as investors assessed the latest CPI readings amid speculation of two interest rate cuts by the Fed in the latter half of the year.

Here's what to watch on Wednesday, August 13:

The US Dollar Index (DXY) traded on the back foot, resuming its downward bias and retesting the sub-98.00 region following mixed US inflation data. A light US calendar will feature the weekly MBA Mortgage Applications, seconded by the EIA's weekly report on US crude oil stockpiles. Additionally, the Fed's Barkin, Goolsbee, and Bostic are due to speak.

EUR/USD regained traction and advanced to the boundaries of the 1.1700 barrier on Tuesday in response to the resurgence of the selling pressure in the Greenback. Wholesale Prices and the final Inflation Rate in Germany will be in the spotlight.

GBP/USD resumed its upward trend and advanced to three-week highs past the 1.3500 barrier. Next on tap on the UK docket will be the GDP figures, Trade Balance, Industrial/Manufacturing Production, Construction Output and the NIESR Monthly GDP Tracker, all due on August 14.

USD/JPY clocked gains for the third day in a row, revisiting the mid-148.00s, or two-week tops. Next on the Japanese calendar will be the Producer Prices and the Reuters Tankan Index.

AUD/USD struggled to ignite some recovery on Tuesday, hovering around the 0.6500 zone despite the marked decline in the US Dollar. Home Loans figures, Investment Lending for Homes, and Wage Price Index are all due in Oz.

Prices of WTI rapidly left behind Monday's advance and refocused on the downside, approaching the $63.00 mark per barrel as traders remained watchful of the Trump-Putin meeting on August 15 in Alaska.

Gold added to Monday's pessimism and dropped to multi-day troughs near $3,330 per troy ounce on the back of progress on the trade front and further calls from President Trump for lower rates. Silver prices rose marginally, meeting some contention near $37.50 per ounce following Monday's marked pullback.