Caution over the upside potential of the U.S. dollar following the U.S. CPI release

Caution over the upside potential of the U.S. dollar following the U.S. CPI release

13.03.2024

In yesterday’s U.S. currency trading, the U.S. dollar rose against the yen after the U.S. February Consumer Price Index (CPI), released yesterday, showed a 0.1-point year-over-year increase to 3.2% from the previous month’s 3.1%. The USD/JPY pair rose from 146.612 to 148.176, recovering to the 75-period moving average (MA) line on the hourly chart.Technically, since there is a support line just below the USD/JPY’s daily 200-day SMA, we will be watching closely to see if the US dollar’s rally extends during US trading hours.

European currencies rose against the yen as the final reading of Germany’s February Consumer Price Index (CPI), released yesterday, came in at 2.5% year-on-year, unchanged from the previous month.The EUR/JPY pair rose from 160.270 to 161.560, extending its gains to just below the 200-period simple moving average (SMA) on the 4-hour chart. From a technical perspective, the EUR/JPY has rebounded with support from the 75-period moving average (MA) on the daily chart, so it will be worth watching whether the euro continues to gain ground during European trading hours.

Today’s economic indicators include UK GDP, UK industrial production, and the UK trade balance at 4:00 PM; Hungarian industrial production at 4:30 PM; EurozoneIndustrial Production, at 8:00 PM the US MBA Mortgage Applications Index and Israel’s Trade Balance, at 11:30 PM US Weekly Crude Oil Inventories, at 12:00 AM Brazil’s Consumer Confidence Index, at 12:00 AM Canada’s Consumer Confidence Index, at 1:00 AM Russia’s Consumer Price Index, and at 2:00 AM the US 30-Year Treasury Auction.We will closely monitor the upside potential of the US dollar, which has risen on the back of the US CPI.

Past Market Reports

1. 17.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

2. 16.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

3. 15.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

4. 14.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

5. 13.04.2026New

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

6. 10.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

7. 09.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

8. 08.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

9. 07.04.2026

   Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran

10. 06.04.2026

    Investors should be wary of sudden spikes in volatility while major markets are closed