Dollar rises for the second straight day with U.S. PPI in focus

2019-06-11 13:40:41 GMT (Economies.com)
Dollar rises for the second straight day with U.S. PPI in focus

US dollar rose on Tuesday against a basket of global currencies, to continue its recovery from a two-month low for the second day in a row, as investors' risk appetite improved and higher-yielding assets purchases increased, ahead of US producer price data in for May.

 

The dollar index rose more than 0.1% to 96.80 points, from the opening level of 96.68 points, with the lowest level at 96.61 points.

 

Yesterday, the index gained 0.2%, its first gain in three days, recovering from a two-month low of 96.39 points recorded earlier in the day.

 

Investors' risk appetite has improved as fears of a worsening in the global trade wars eased, especially after the recent agreement between the US and Mexico.

 

The New York Times reported on Saturday that the agreement between the United States and Mexico includes wide measures Mexico will take to prevent the flow of illegal immigrants from Central America.

 

Under the agreement, the United States renounced the threat of a 5% tariffs increase on Mexican imports, which would have started from Monday (June 10th).

 

Later in the day, investors are looking forward for important data on the US on producer prices during May, as producer prices are a leading indicator of consumer prices, the main gauge of US inflation.

 

The Producer Price Index (PPI) is expected to rise by 0.1% in May from a 0.2% rise in April. The core reading for the same index (excluding food and fuel prices) is expected to rise by 0.2% from 0.1% in the previous reading.

 
 
 
  Symbol Last Change Chg.%
1.1053
-0.0022
0.1977%
1.2532
0.0049
0.3917%
17.853
0.402
2.302%
58.805
3.912
7.126%
64.40
0.80
1.26%
1501.800
12.820
0.861%
 
 
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