A businessman is seen holding out a stack of U.S. banknotes.
Thomas Trutschel | Photothek | Getty Images
The dollar edged higher against a basket of currencies on Friday, paring some of the week’s losses, as a stronger-than-expected rise in U.S. and Chinese inflation gauges drove up bond yields.
The U.S. Dollar Currency Index, which measures the greenback against a basket of six currencies, was 0.10% higher at 92.163.
“We’re seeing a consolidation in the broad U.S. dollar today after a week of losses as inflation data from China and the U.S. sparks the U.S. treasury curve back into life,” said Simon Harvey, currency analyst at broker Monex Europe.
Data on Friday, showed U.S. producer prices increased more than expected in March, resulting in the largest annual gain in 9-1/2 years, fitting in with expectations for higher inflation as the economy reopens amid an improved public health environment and massive government funding.