Marc Chandler

The Bank of Japan intervened in the foreign exchange market in late July.

The US dollar is mixed ahead of July CPI data, with inflation expected to cool slightly.

The US dollar is mostly softer against the G10 currencies, though sterling, the Australian dollar, and Japanese yen are slightly firmer. It is a bit weaker against most of the EM currencies.

The US dollar holds steady as the yen tests the JPY160 level despite signals of faster Japanese rate hikes.

Published on August 12, 2026 The US dollar is mixed. It is mostly softer against the G10 currencies, though sterling, the Australian dollar, and Japanese yen are slightly firmer.

The US Dollar softened against G10 peers as Treasury yields fell on cooler inflation data.

Summary The dollar is softer against the G10 currencies today, though it is mixed on the week.

Tomorrow is the 55th anniversary of the end of Bretton Woods. R.I.P. It was an economic agreement, pegging the dollar to gold and the other currencies to the dollar, and establishing the World Bank, and the International Monetary Fund.

Soft US data has slashed rate hike odds, pressuring the Dollar Index (DXY) as momentum indicators stretch toward oversold territory. Markets now focus on the FOMC minutes and Jackson Hole to gauge the next phase of Fed policy.

The Fed funds futures finished last week with a little less than eight basis points of tightening next month discounted, down from 18 bp at the end of July.