• Crude Oil falls slightly with all eyes on the Fed meeting on Wednesday. 
• More bearish news for Oil emerged over the weekend, with China’s economic data deteriorating even further. 
• The US Dollar Index is under pressure, trading at the lower boundary of September’s bandwidth. 

Crude Oil edges down slightly on Monday after more weak Chinese economic data released over the weekend weighs on prices. Price action this week will largely depend on the US Federal Reserve (Fed), which is set to cut interest rates with markets deeply divided over whether rates will be lowered by only 25 basis points (bps) or by 50 bps. Traders would stem a bigger rate cut as supportive of growth and demand,  supporting Crude Oil prices. 

The US Dollar Index (DXY), which tracks the performance of the US Dollar (USD) against a basket of currencies, is facing downward pressure as well. With a bigger-than-expected rate cut on the cards, the Greenback loses its power over other currencies as rate differentials with other central banks would get tighter. All eyes will be of Fed Chairman Jerome Powell on Wednesday.