Economists expect prices to have risen 2.8% in July compared to a year earlier, which would amount to a slight uptick from 2.7% year-over-year growth in the previous month. Still, the anticipated inflation rate would clock in below 3% recorded in January, the month Trump took office.

According to a Reuters poll of economists, Brazil’s inflation likely stayed high in July, though underlying pressures appeared to be easing. Policymakers are intently monitoring the statistics as they consider when to implement long-awaited interest rate cuts to encourage economic activity ahead of next year’s presidential election.

The Indian rupee was largely unchanged on Tuesday with traders in "wait and watch" mode awaiting the release of key inflation data in the U.S. and India later in the day, which could provide clues on the interest rate trajectories in the two economies.

NZD/USD eased on Tuesday as dollar edged higher ahead of U.S. consumer inflation report later in the day, which could influence expectations for Federal Reserve rate cuts. U.S. consumer inflation due later in the

U.S. stocks edged back from their record heights in Wall Street's final moves before an upcoming update on inflation.