The dollar is ’teetering’ near its recent lows

The dollar is hovering near recent lows as markets gear up for this week’s Federal Reserve meeting.

The US dollar index was little changed near 91.85 at 7:52 a.m. ET.

“The DXY is teetering near the recent lows, and many market participants will keep an eye on the key pivot level of 91,” said Mark McCormick, the North American Head of FX Strategy at TD Securities, in a note.

“We could see some profit taking early in the week but look to fade dollar rallies into this week’s FOMC meeting.”

The Federal Open Market Committee is meeting on Tuesday and Wednesday. For the most part, Fed watchers expect the committee to announce the start of a reduction in its $4.4 trillion balance sheet at the conclusion of its two-day meeting on September 20.

The market sees a 47.7% chance the Fed hikes rates again in 2017, according to Bloomberg data.

The US dollar index has fallen about about 11% against a basket of currencies since US President Donald Trump's inauguration.

As for the rest of the world, here was the scoreboard at 8:01 a.m. ET:

The euro was little changed at 1.1944 against the dollar after CPI for the euro area rose 1.5% year-over-year in August, in line with expectations.The British pound was down 0.4% at 1.3544 against the dollar. Bank of England governor Mark Carney will be speaking later on Monday.The Japanese yen was weaker by 0.5% at 111.40 per dollar.The Russian ruble was lower by 0.2% at 57.7371 per dollar.