Ella 
The U.S. dollar index reversed an initial decline to 105.90.
The U.S. dollar index traded within a narrow range above 106.00 on Tuesday.
Dollar Index focuses on risk trends and Fed speeches
The U.S. Dollar Index has so far reversed four consecutive sessions of losses, hovering around 106.00, as market participants traded cautiously amid geopolitical concerns and the release of U.S. inflation data (October 12).
Meanwhile, U.S. bond markets resumed activity after the Columbus Day holiday on Monday, with yields trying to rebound slightly so far Tuesday.
On the monetary policy front, investors continue to consider the possibility that the Federal Reserve may maintain its restrictive stance for longer than expected, although the idea of a possible rate hike before the end of the year appears to have lost traction recently.
Next up, Atlanta Fed Raphael Bostic (2024 voter, hawk), FOMC Governor Christopher Waller (permanent voter, hawk) and the Minneapolis Fed Neal Kashkari (voter, centrist) will speak.
US dollar trend
The index attempted a rebound after briefly breaking through key support at 106.00 early Tuesday.
Meanwhile, the good health of the U.S. economy continues to provide support for the dollar, as does the Federal Reserve’s renewed “long-term interest rate hike” stance.
