The U.S. Dollar Index (DXY) dropped to a new multi-month low on Tuesday as the market anticipated that the Federal Reserve would cut interest rates by 25 basis points in September.

Investors are awaiting the July FOMC meeting minutes, seeking insights from Fed policymakers to confirm whether there will be a rate cut by September. Meanwhile, Fed Chair Powell's remarks at the Jackson Hole symposium provided further hints that the Fed might begin lowering interest rates in September.

Source: Fxstreet