US Dollar ticks up as markets brace for Nvidia earnings

The US Dollar recovers after after a volatile Tuesday. 

Markets are favoring risk-on ahead of the much anticipated Nvidia earnings. 

The US Dollar index trades up in the 106.50 area, still looking for support to bounce off from. 

The US Dollar (USD) recovers on Wednesday, with the DXY Index trading around 106.5, as market sentiment turns risk-on ahead of the Nvidia earnings release after the US closing bell. Overnight in the US session, markets reversed the initial concerns about the escalated situation between Russia and Ukraine after Russian President Vladimir Putin said he is open to a peace deal brokered by President-elect Donald Trump. 

The US economic calendar is still rather empty on Wednesday, except for the weekly Mortgage Applications data. The focus shifts to the Federal Reserve (Fed), with four Fed speakers set to release comments for the markets. That December interest-rate cut remains in limbo, with traders unsure whether the Fed will stick to its previous commitment to cutting rates in December again.