USD Slips Following Release of Inflation Data

The U.S. dollar remained relatively stable amidst turbulent trading on Tuesday, initially strengthening earlier in the global session. However, it later retraced its gains following the release of data indicating higher-than-expected inflation in the world’s largest economy.

Following the data release, the greenback experienced an initial surge but subsequently declined. The dollar index, which measures the currency’s performance against a basket of other major currencies, remained unchanged at 102.83.

According to the report from the Labor Department, the Consumer Price Index (CPI) for February showed a 0.4% increase, aligning with the forecasted 0.4% rise. On a year-on-year basis, the CPI registered a gain of 3.2%, slightly surpassing the anticipated 3.1% rise.