May US CPI Data Expected to Accelerate, USD Edges Lower

The US dollar edged lower during the Asian session on Tuesday. Market focus is on the release of May's US Consumer Price Index (CPI) data, which is due later today.

Both the headline and core CPI rates are expected to have accelerated from the previous month. The headline figure is anticipated to post a faster increase, while core CPI is also forecast to show a rise. The data could influence expectations for the Federal Reserve's next policy move.

Traders are positioning ahead of the release, with the dollar under mild selling pressure. The outcome will be closely watched by currency markets for its impact on the Fed's interest rate path.