2017.08.1421:02:00UTC+00Dollar Climbs as Investors Pulled Out of Safe Havens

The U.S. dollar increased broadly on Monday as traders moved out of bearish wagers versus the greenback which have come in the aftermath of growing tensions between North Korea and the United States as well as weak inflation data.

As North Korean tensions appeared to have slightly subsided over the weekend, investors have returned to the dollar and out of safe-haven currencies like the Japanese yen and Swiss franc, according to analysts.

The dollar index last stood 0.4 percent higher.

The index dropped to its lowest since May 2016 earlier this month. According to Commodity Futures Trading Commission data, speculators' net short wagers on the dollar increased last week to their biggest position since January 2013.

Last week the greenback dropped to an eight-week low versus the Japanese yen. On Monday, it climbed 0.5 percent to 109.67 yen.

Against the Swiss franc the dollar rose 1.1 percent, on track for its biggest one-day percentage gain in almost three weeks.

Investors will pay attention to a report on U.S. retail sales set to be released on Tuesday for their next clue on the path of U.S. inflation.