The greenback muted on Monday where investors assessed the U.S. economic figures before Fed’s meeting scheduled this week, on the other hand euro ticked down as ECB’s policymakers did not settle on rate trim timing.

The dollar index that gauges the greenback versus its major pairs nudged up 0.1% at 103.61 on Monday and steadied near the highest level in six weeks of 103.82 hit the earlier week.

The index is poised for touching 2%gain in January, as investors hopes for early interest rate trim were hampered.

Fed’s meeting for December shocked market with a dovish tone, driving traders to predict an early interest rate trim in March.

However, subsequent robust economic statistics and reluctance from central bankers have caused markets to reassess their forecasts.

EUR/USD dipped 0.2% at $1.0825, and was gearing towards 2% drop for the month.

The previous week, the ECB maintained interest rate peak at 4% while reiterating its commitment to battling inflation.

GBP/USD traded mute at $1.2700, before BOE’s policy meeting on Thursday.

The Japanese yen strengthened to 147.935 per dollar, but is on course for an almost 5% decline in January, experiencing its worst monthly performance since June 2022 as investors reduce their predictions over the timing of the BOJ’s withdrawal from its extremely loose policy.