Dollar rises near 2-week high ahead of US inflation data

The US dollar rose on Tuesday, to extend its gains for the second straight day, near touching its 2-week high, as investors continued to focus on high-yield currencies, ahead of key US data releases on inflation levels for December.

The dollar index rose more than 0.1% to 97.47 points, after it opened at 97.36, and hit a day low of 97.35.

The greenback gained less than 0.1% yesterday, to mark its fourth daily gain in the past 5 days, on positive developments on the US-China trade file.

The US dollar rose to 2-week high of 97.58 on Friday, on improved risk-appetite, as concerns about the geopolitical tensions in the Middle East receded, and the US and China getting near to the signing of their initial trade pact.

A Chinese trade delegation headed by Vice Premier Liu He have arrived in Washington today, to sign the phase-one trade deal on Wednesday at the White House with President Donald Trump's administration.

The US Treasury Department on Monday removed its designation of China as a currency manipulator, in the latest positive measures.

Investors are anticipating the release of important US data today, on the US consumer prices index.

The US CPI reading for December will be released at 13:30 GMT, with forecasts for the annual reading to rise by 2.3% vs. 2.1% in November, and the monthly reading to rise by 0.2% vs. 0.3%.