The dollar index regained momentum above 100 mark on Thursday as Federal Reserve Chair Jerome Powell said higher energy prices will push up overall inflation. The Fed held interest rates steady at its March meeting on Wednesday, maintaining the benchmark Federal Funds Rate in a target range of 3.5% to 3.75%. Oil prices climbed again after Iran reported that some of its energy facilities had come under attack, adding to inflation worries. Data released Wednesday showed US producer prices rose more than expected in February. The US Producer Price Index (PPI) increased 0.7% month-over-month in February, up from 0.5% in January and well above expectations of 0.3%, marking the largest rise in seven months. On an annual basis, headline PPI climbed to 3.4%, the highest level in a year, compared to 2.9% in January. The US Dollar Index (DXY), which measures the value of the US Dollar (USD) against six major currencies is trading around 100 mark.
Powered by Capital Market - Live News