The publication of US inflation data was surprisingly strong: the US CPI index advanced to 3.4% – the highest value within three months. The biggest price hike was associated with services, and energy prices displayed an uptick for the first time since September 2023. The market's reaction was nervous: tech stocks plummeted, though this drop was later trimmed by strong responsive buying activity, with notable strength in the Nasdaq index. However, the reaction of the dollar index was muted, as the current strength of inflation has very limited influence on the yields of treasury bonds and the probabilities of ... (full story)