The U.S. Dollar Index is on the decline following the release of Producer Prices data for June. PPI rose by 0.2% month-over-month, exceeding the expected +0.1%. Core PPI also surpassed expectations, growing by 0.4% compared to the forecasted +0.2%. Additionally, today’s focus was on the Michigan Consumer Sentiment report, which showed a decrease from 68.2 in June to 66.0 in July, falling short of the anticipated 68.5. This unexpected drop in Consumer Sentiment has added pressure on the U.S. Dollar.
If the U.S. Dollar Index falls below the 104.00 level, it is likely to head towards support at 103.50 – 103.75.