SINGAPORE, June 3 Reuters The dollar was broadly steady on Monday as traders wagered that U.S. inflation may have stabilised enough for the Federal Reserve to cut rates later in 2024, while the euro was calm ahead of the expected cut from the European Central Bank this week.

Among emerging market currencies, the Indian rupee and Mexican peso strengthened following exit poll results from general elections in both countries.

The Indian rupee, the best performing Asian currency this year, was last at 83.035 per dollar as exit polls pointed to a sizable mandate and a rare third term for Prime Minister Narendra Modi.

The Mexican peso rose to 16.95 after the country39;s ruling party declared Claudia Sheinbaum the winner of the presidential election by a large margin after polls closed on Sunday.

The dollar posted its first monthly decline of the year in May, weighed down by shifting expectations on when the U.S. central bank will cut rates and by how much, with markets pricing in 37 basis points of cuts this year from the Fed.

Data on Friday showed the personal consumption expenditures PCE price index increased 0.3 in April, matching the unrevised gain in March. Traders are pricing in about a 53 chance of a September rate cut, versus 49 before the report.

The inflation data still shows price pressures remain above the Fed39;s 2 target, with the yearoveryear rise in the PCE index measuring 2.7 in April, the same rate as in March, keeping the markets unsure of more than one…