By Administrator_ India
The dollar held gains on Thursday, supported by higher Treasury yields after a surprisingly strong rise in U.S. consumer prices fanned fears about an increase in inflationary pressure.
Traders will now turn attention to U.S. weekly jobless claims due later on Thursday and retail sales numbers on Friday for guidance on whether upward pressure on prices will persist.
The greenback is likely to extend its gains as some investors unwind bearish bets, and re-position in anticipation of sustained inflation pressures as more economies emerge from the coronavirus pandemic, analysts said.
The dollar traded at 109.69 yen, close to its strongest level in five weeks.
Against the euro, the dollar stood at $1.2077, holding onto a 0.6% gain from the previous session.
The British pound bought $1.4064.
The dollar also traded at 0.9085 Swiss francs, close to a one-week high.
U.S. consumer prices increased by the most in nearly 12 years in April as booming demand amid a reopening economy pushed against supply constraints, data on Wednesday showed.
Benchmark 10-year U.S. Treasury yields rose to a five-week high of 1.7040%, increasing the appeal of dollar-denominated assets.