The dollar remained range-bound on Monday as investors braced for the release of the Federal Reserve’s meeting minutes later this week. The minutes are expected to provide insights into the central bank’s thinking on the future path of monetary policy.

Against a basket of six major currencies, the dollar index was trading near its previous close. Trading activity was subdued due to the U.S. Independence Day holiday on Tuesday.

Analysts suggest that the dollar’s direction will largely depend on the Fed’s assessment of the U.S. economy and its willingness to continue raising interest rates. Recent economic data has been mixed, adding to the uncertainty surrounding the Fed’s policy outlook.

Market participants are also closely watching upcoming U.S. economic data releases, including the jobs report, which could provide further clues about the strength of the labor market and the overall economy.

Here are some key factors influencing the dollar’s performance:

• Federal Reserve Policy: The pace of future interest rate hikes remains a key driver.
• Economic Data: Strong economic data generally supports the dollar.
• Global Growth: Global economic conditions can also impact the dollar’s value.

The dollar’s near-term outlook remains uncertain, with potential for both gains and losses depending on the upcoming news flow.