Dollar Soars on Higher Yields Amid Global Price Pressures

The US dollar held near a two-month high on Thursday, supported by rising US Treasury yields. The increase in yields was partly driven by concerns over persistent global price pressures stemming from the Middle East war.

Data showing US inflation rose less than expected in August, along with downward revisions to July's reading, reduced expectations for a Federal Reserve rate hike this month.

The euro zone inflation surge underscores the threat that higher energy prices continue to pose to the global economy. Against the dollar, the euro was marginally lower at $1.1330 in the early Asian session.