[MARKET ANALYSIS] DXY ekes marginal gains amid higher oil prices and Fed rate hike bets

DXY: +0.1% Trades mildly higher amid upside in oil and yields, while there was also a continued boost to Fed rate hike bets and hawkish comments from Fed officials last Friday, including Hammack, who stated the Fed needs to make sure policy is at a restrictive stance to lower inflation and that she does not see current policy as restraining the economy. EUR/USD: Flat Pared early declines and returned to flat territory with few notable drivers for the single currency, although there are a couple of ECB speakers scheduled later, including Lagarde. GBP/USD: Flat Struggles for direction and remains beneath the 1.3300 handle with the currency unmoved by UK PM Burnham signalling new taxes to pay for social care reform and seeking a universal service for social care similar to NHS principles. USD/JPY: +0.3% Continued its rebound from support around the 157.00 level amid higher oil prices and upside in US yields. Antipodeans: AUD/USD Flat / NZD/USD +0.2% Price action is somewhat mixed with AUD/USD rebounding from an early dip to return to flat territory amid selling in metals and ahead of a widely expected RBA rate hike tomorrow.