After experiencing its biggest weekly decline of the year, the greenback traded flat on Monday in Europe, while the yuan was under pressure due to disappointing Chinese growth figures.

The dollar index that gauges the greenback versus its major pairs edged lower at 99.597 post slumping by 2.2% the previous week, marking the lowest drop for 8 months ago.

The dollar index last week dropped below 100 for the first time since April 2022 as a result of weaker-than-anticipated inflation figures for producer and consumer prices on Wednesday and Thursday, respectively, which backed up the idea that the Federal Reserve will stop raising interest rates after its final rise next week.

Given that Germany, the largest economy in the euro zone, had annual inflation rise to 6.8% in June when compared to other EU nations, the European Central Bank is largely expected to increase interest rates once more the following week.

EUR/USD grew by 0.1% to 1.1238 as the euro, which had risen by 2.4% last week to a 16-month high, continued to be popular.

GBP/USD dipped slightly to 1.3081, trading close below the 15-month high reached last week.

USD/JPY dipped 0.2% to 138.47, prior to the Bank of Japan's policy meeting the following week, the yen has been strengthened by declining U.S. bond yields.