© Reuters. FILE PHOTO: U.S. dollar banknotes are seen in this illustration taken March 10, 2023. REUTERS/Dado Ruvic/Illustration/File Photo
By Gertrude Chavez-Dreyfuss and Herbert Lash
NEW YORK (Reuters) -The dollar rose modestly against major currencies on Monday, as investors braced for data on U.S. inflation and retail sales this week for clues on when the Federal Reserve may begin widely anticipated interest rate cuts.
In cryptocurrencies, bitcoin hit $50,000 for the first time since December 2021, boosted by inflows into exchange traded funds backed by the digital asset. It was last up 5.6% at $50,207.
The , a measure of the greenback against six of its peers, was up 0.1% at 104.12, as the market expects the consumer price index (CPI) for January – due to be released on Tuesday – to give the Fed further confidence that inflation is slowing towards its 2% target.
Wall Street economists expect the year-on-year CPI to rise 2.9%, down from 3.4% in the previous month, according to a Reuters poll. The core CPI is also expected to have slowed its growth on a year-on-year basis in January to 3.7%, from 3.9% in the prior period.
“Psychologically, dropping down into the 2s…
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