The U.S. dollar strengthened on Monday as President Donald Trump hosted a summit with Ukrainian President Volodymyr Zelenskyy and European leaders to discuss a potential peace agreement to end the war in Ukraine, as reported by Reuters.

The meeting, which also included representatives from NATO and the European Union, focused on providing security assurances to Ukraine and paving the way for a trilateral dialogue with Russian President Vladimir Putin.

In parallel, traders adjusted their expectations for Federal Reserve policy ahead of Chair Jerome Powell's upcoming speech at the Jackson Hole symposium. The probability of a rate cut in September decreased to 83% from 98%, reflecting improved economic indicators and reduced demand for safe-haven assets like gold. Consequently, gold prices rebounded from a two-week low, rising 0.4% to $3,348.59 per ounce.

The dollar index, a measure of the greenback against a basket of currencies, remained steady at 97.85, with minimal changes against the euro and yen. Asian markets also showed optimism, with Japan's Nikkei and Taiwan’s indices hitting record highs, fueled by expectations of easing global interest rates.