The dollar index tilted lower in Asian trade off July 28 highs on profit-taking amid a lack of data from the US and ahead of US inflation data later today.
As of 011:01 GMT, the dollar index fell 0.15% to 106.44, with a session-low at 106.25.
From the US, the unemployment rate fell to February 2020 lows at 3.5%, while the economy added more jobs than expected last month, paving the way for a 0.75% rate hike by the Federal Reserve in September.
Such data boosted the greenback last week before dipping on active profit taking, with traders now expecting a 73.5% chance of another Fed rate hike at the next meeting.
This week, the Senate agreed on a $430 billion law that aims to combat climate change and implement some tax exemptions in the field.
US 10-year and two-year yields are still reversed in an early sign of depression, which already occurred in the first two quarters of the year.
Tomorrow, US consumer prices are expected up 0.2%, compared to a 1.3% rise in June, while core prices are expected up 0.5%.
Inflation data are expected to bolster the case for a 0.75% rate hike at the next Fed meeting, especially if inflation came above 9%.