Currency Market Update: US Dollar Rises Amid PPI Data and Yield Surge
The US dollar has strengthened and yields have risen after a slightly higher-than-expected producer price index (PPI) reading. Despite the small miss, the reaction in the FX and fixed income markets has been significant, with USD/JPY approaching 145.00. These moves may indicate an underlying bias in the market, as seen with rising yields despite a cool CPI reading the day before.