The dollar was in a weak position against the euro towards the end of last week but was stronger against the pound.
Inflation data for the US was released on Friday. The figures showed that the cost of goods and services rose sharply in August for the third month in a row, but the increase was mostly a recovery after a decline at the start of the coronavirus pandemic. Overall inflation is still fairly low.
Inflation is likely to be a topic raised by the Federal Reserve this week, as they announce their latest decision on interest rates this Wednesday. Interest rates are expected to be kept on hold. However, the markets will be looking for any comments following the recent announcement that they will take a relaxed approach to inflation and keep interest rates low.
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