Will the U.S. dollar continue to rise following the release of the U.S. CPI, or will the market wait and see how prices move?

Will the U.S. dollar continue to rise following the release of the U.S. CPI, or will the market wait and see how prices move?

11.06.2025

In yesterday’s U.S. currency trading, the U.S. dollar rose against the yen ahead of today’s release of the U.S. May Consumer Price Index (CPI). The USD/JPY pair rose from 144.397 to 145.287, with price action straddling the 20-period moving average (MA) on the hourly chart.On the 4-hour chart, candlesticks are trending upward while finding support at the 200-period simple moving average (SMA), and on the daily chart, the pair is currently attempting to break above the 20-period moving average (MA) and set a new high for the month.

Among European currencies, the euro rose against the pound for the second consecutive day. The euro/pound pair climbed from 0.8418 to 0.8468, surging to the +3σ level of the hourly Bollinger Bands.On the 4-hour chart, the price has already broken above the upper resistance zone formed by the 200 SMA with a real-body candle, while on the daily chart, the 200 SMA is acting as a support level, causing the price to rebound. We will be watching for signs of the euro’s continued rise during European trading hours.

Today’s economic indicators include the Japan Domestic Corporate Price Index at 8:50, remarks by ECB President Lagarde at 12:15, the U.S. MBA Mortgage Applications Index at 20:00, Canadian Housing Starts at 21:30,U.S. Consumer Price Index (CPI), at 23:30 U.S. weekly crude oil inventories, at 26:00 U.S. 10-year Treasury auction, and at 27:00 U.S. budget balance. We will be watching the market reaction following these releases to see if the U.S. dollar continues to rise following the U.S. CPI announcement.