Oil Price Surge Lifts Global Yields Amid Central Bank Rate Hike Bets

Currency markets showed little movement as investors weighed the impact of rising oil prices and higher global bond yields. Brent crude futures remained above $100 a barrel, while global benchmark 10-year Treasury yields hit their highest levels since last year due to energy pressures.

The Japanese yen's strong rally paused ahead of key US inflation readings, which will guide the Federal Reserve's upcoming policy decisions. Central banks in Europe and Japan are expected to raise interest rates soon.

Market focus will later shift to US inflation readings, including producer prices on Thursday and CPI on Friday, the last set of key data releases before the FOMC meeting on September 15-16.