Posted 1/12/2024, 1:41:15 PM
US Dollar Sinks on Slowing Inflation and Rate Cut Bets; UK and US Strike Yemen Rebels
- US Dollar sinks after PPI inflation numbers undershoot estimates, fueling bets on Fed rate cuts
- UK and US conduct joint airstrikes on Houthi rebels in Yemen, sparking tensions and threats of retaliation
- Producer Price Index shows slowing inflation in December, contradicting uptick in Consumer Price Index
- Markets pricing in 95% chance Fed keeps rates unchanged in January, but chance of cuts later in year
- Technical analysis shows US Dollar Index under pressure, risk of breaking support around 102 and falling towards 101