MUFG’s Michael Wan notes that a stronger-than-expected United States (US) April Producer Price Index (PPI) print has driven a hawkish repricing of Federal Reserve (Fed) expectations, lifting Treasury yields and supporting the US Dollar (USD).

Dow Jones futures rise 0.30% to near 49,950 during the European hours on Wednesday, ahead of the United States (US) regular opening. Meanwhile, the S&P 500 advance 0.19% to near 7,480, and the Nasdaq 100 futures gain 0.41% toward 29,600.

The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, holds onto gains near 98.50 during the Asian trade on Thursday.

Dow Jones Industrial Average (DJIA) futures slipped onto the back foot through European and early US hours on Wednesday, struggling to hold above 49,500 after fading from overnight highs near 49,800.

Danske Research Team highlights that United States (US) Consumer Price Index (CPI) data showed strong core and services inflation, reinforcing concerns about persistent underlying price pressures. Shelter and super-core components rose, while core goods remained flat.

Dow Jones futures move little around 49,850 during the European hours on Wednesday, ahead of the United States (US) regular opening. Meanwhile, the S&P 500 advance 0.24% to near 7,440, and the Nasdaq 100 futures rise 0.71% toward 29,400.

Deutsche Bank’s Jim Reid notes that higher Oil prices and hawkish US inflation data created a challenging backdrop for equities.

OCBC’s Christopher Wong notes the US Dollar (USD) strengthened after hotter United States (US) Consumer Price Index (CPI) data lifted UST yields and revived Fed hike expectations, with focus now on US Producer Price Index (PPI).

MUFG’s Michael Wan describes how a stronger US Dollar environment emerged as United States (US) April Consumer Price Index (CPI) surprised to the upside and US yields climbed.

The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is remaining steady after two days of gains and trading around 98.30 during the Asian hours on Wednesday.

The US Dollar Index (DXY), which tracks the Greenback’s value against a basket of six major currencies, climbs to a five-day high on Tuesday as stronger-than-expected US inflation data bolsters the hawkish Federal Reserve (Fed) outlook.

TD Securities’ FX team, led by Jayati Bharadwaj and colleagues, keeps a neutral short-term stance on the US Dollar (USD) following the April United States (US) Consumer Price Index (CPI) release.

Dow Jones Industrial Average (DJIA) futures spent the overnight session in a tight range between 49,600 and 49,700, with little appetite to pick a side ahead of the April Consumer Price Index (CPI).

The United States (US) reported that annualized inflation, as measured by the Consumer Price Index (CPI) rose by 3.8% in the twelve months to April, higher than the 3.3% posted in March and above expectations of 3.7%.

Brown Brothers Harriman’s (BBH) Elias Haddad notes that the US Dollar (USD) is firmer as confidence in a swift reopening of the Strait of Hormuz fades, with USD outperforming most major currencies.

ING strategists Francesco Pesole, Frantisek Taborsky and Chris Turner expect a 0.9% MoM United States (US) Consumer Price Index (CPI) print, above consensus, with core at 0.3% MoM.

Dow Jones futures are steady around 49,800 during the European hours on Tuesday, ahead of the United States (US) regular opening. Meanwhile, the S&P 500 decline 0.35% to near 7,410, and the Nasdaq 100 futures inch lower 0.77% toward 29,200.

MUFG’s strategists note that the US Dollar (USD) has weakened despite solid United States (US) jobs data, as optimism over a potential US/Iran deal and surging US equities support risk appetite.

Commerzbank analysts note the US Dollar Index (DXY) inched up to 97.96 as markets consolidated and prepared for United States (US) Consumer Price Index (CPI).

The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies, is gaining ground for the second successive day and trading around 98.10 during Asian hours on Tuesday.

The US Dollar Index (DXY) is holding firm near the 97.95 region as investors remain cautious despite some improvement in overall market sentiment and ongoing geopolitical tensions in the Middle East.

US equity index futures opened the week little changed as Wall Street weighed a renewed flare-up in the US-Iran standoff against this week's marquee inflation print.

Donald Trump, United States (US) President, said that Iran’s proposal was “stupid” and that they agreed on his terms but then reversed on them. Trump told reporters in the Oval Office on Monday.

ING’s Chris Turner notes the Dollar has started the week slightly stronger as hopes for a Middle East ceasefire fade and Oil prices jump. He highlights US April Consumer Price Index (CPI) as the key release, with expectations for higher headline and core inflation.

MUFG’s Lee Hardman notes the US Dollar (USD) has rebounded, lifting the Dollar Index (DXY) back above 98.000 as stalled Middle East peace talks and a stronger April Nonfarm Payrolls (NFP) report underpin demand.

OCBC’s FX Christopher Wong notes US Dollar Index (DXY) traded slightly softer despite a strong US jobs report, as markets focus more on geopolitics, Oil and Fed repricing.

The US Dollar (USD) surrenders half of its early gains during the European trading session at the start of the week, with the US Dollar Index (DXY) dropping to near 98.00 from the intraday high of 98.15.

Dow Jones futures lose 0.12%, trading near 49,630 during the early European hours on Monday, ahead of the United States (US) regular opening. Meanwhile, the S&P 500 decline 0.10% to near 7,410, and the Nasdaq 100 futures inch lower 0.06% toward 29,300.

Deutsche Bank analysts highlight that United States (US) equities, including the S&P 500 and Nasdaq, have pushed to new highs, supported by strong AI-related earnings, resilient US data and easing Oil prices last week.

Commerzbank’s Thu Lan Nguyen highlights growing legal tensions around US sanctions on Chinese refineries buying Iranian Oil, warning this could erode the Dollar’s reserve status over time.