US President Joe Biden said on Wednesday that they are seeing some signs that inflation may be moderating, as reported by Reuters.

"We could face additional headwinds in the months ahead," Biden added. "We still have work to do but we're on track."

Earlier in the day, the data published by the US Bureau of Labor Statistics showed that the annual Consumer Price Index (CPI) declined to 8.5% in July from 9.1% in June. 

Market reaction

The greenback struggles to find demand following soft inflation data and the US Dollar Index was last seen losing 1.2% on a daily basis at 105.00.