• The index trades in levels last seen in April 2022.
• The sell-off in the dollar accelerates post-US CPI.
• Producer Prices, weekly Claims take centre stage later.

The USD Index (DXY), which tracks the greenback vs. a basket of its main rival currencies, remains well on the defensive and tests fresh lows in the 100.30 region.

USD Index now looks at US data

The index so far retreats for the sixth consecutive session on Thursday and trades closer to the psychological support at 100.00 on the back of the persistent sell-off in the dollar, diminishing US yields across the curve and the generalized upbeat tone in the risk-linked galaxy.

Indeed, USD has particularly accelerated its losses in response to the lower-than-expected US inflation figures during June (released on Wednesday), which in turn seem to have reignited market chatter around the likelihood that the Federal Reserve might end its tightening campaign in the near term.