The US dollar dipped slightly in Asian trading hours as financial markets anticipate a greater likelihood of a 50 basis point rate cut by the Federal Open Market Committee this week. However, Kristina Clifton, currency strategist at Commonwealth Bank of Australia (CBA), noted that market liquidity remains thin due to the closure of Japanese and Chinese markets for public holidays. She said that the federal funds futures market is pricing in a 60% chance of a 50 basis point rate cut, up from around 50% on Friday. Clifton added that the dollar is likely to weaken this week as the global easing cycle weighs on safe-haven currencies. However, if the dovish expectations for the Fed are dashed at this meeting, the dollar could rebound later in the week. (Jin Shi)