US business activity resilience drives the Dollar Index to its highest level since June 2023 following June PMI gains.
The US Dollar Index climbed to 101.40, its highest level in 13 months, as traders reacted to June’s S&P Global US PMI data. The Manufacturing PMI rose to 55.7, the strongest reading since May 2023, signaling robust business activity.
The surge follows a string of weaker prints earlier in the year, with consensus estimates trailing the actual figure. Services PMI also exceeded expectations, reinforcing signs of economic strength amid persistent inflation concerns.
Markets are now pricing in potential Federal Reserve policy shifts, though no immediate reaction in futures or bond yields was reported.