Dollar indexU.S. Dollar Currency IndexICEUS_DLY:DXYShavyfxhubDollar reached 99.600-100$ on weekly candle ,before Friday retracement following United States economic dockets . Core PPI m/m 0.4% 0.5% 0.7% USD PPI m/m 1.1% 0.7% 1.1% Unemployment Claims 229K 220K • Headline PPI m/m: Actual 1.1% (vs. forecast 0.7%, previous 1.1%). This came in notably hotter than expected. Year-over-year, it rose to 6.5% (highest since late 2022), driven heavily by energy/goods prices — especially a big jump in gasoline (~23% contribution to the goods increase).  • Core PPI m/m (ex-food & energy): Actual 0.4% (vs. forecast 0.5%, previous 0.7%). This was slightly softer than expected and a clear slowdown from the prior month. Year-over-year core was around 4.9%, also below forecasts.  Overall takeaway on inflation: Headline PPI shows persistent upward pressure, largely from volatile energy/fuel costs (goods prices +2.8% m/m). However, the core measure — which better reflects underlying trends — cooled, suggesting the surge isn’t fully broad-based yet. Services prices rose more modestly (+0.3%). This mix indicates cost pressures remain elevated but may not be accelerating as aggressively in underlying components.  Unemployment Claims Interpretation • Actual 229K (vs. forecast ~220K, previous 225K). This was a modest increase and the highest in about three months, with the 4-week average also ticking up slightly to ~219K.  Overall takeaway on labor market: Still historically low and indicative of a resilient (but gradually softening) jobs market. No signs of sharp deterioration, but the uptick adds to a narrative of cooling momentum amid other recent data. How the Fed Might React (Context for Upcoming Policy Meeting) The Fed’s next FOMC meeting is likely around mid-June 2026 (data like this informs their deliberations). Their dual mandate focuses on maximum employment and price stability (2% inflation target). • Dovish elements (favoring patience or eventual cuts): Core PPI coming in softer and claims edging higher support the view that underlying inflation is moderating and the labor market has some slack emerging. This aligns with recent trends of stable-but-cooling employment (unemployment around 4.3% recently). • Hawkish elements (favoring holding rates steady or caution): Headline PPI surprise and elevated YoY readings (6.5%) highlight risks from energy/supply-side shocks. The Fed is wary of premature easing if inflation proves sticky, especially with geopolitical factors (e.g., energy prices). Likely Fed stance: Data like this probably reinforces a data-dependent, cautious hold posture rather than aggressive moves. Markets may see it as mixed/neutral-to-slightly dovish overall (core cooling + labor softening outweigh headline PPI for rate-cut expectations in the medium term), but it doesn’t scream for immediate action. The Fed will want to see more confirmation (e.g., CPI, employment reports) before shifting policy significantly. Persistent energy-driven pressures could keep them on hold longer if they view it as a risk to inflation expectations.  This fits a broader picture of an economy with resilient growth/labor but sticky inflation risks — classic “higher for longer” territory until clearer disinflation signals emerge. Markets often react with volatility on the headline miss but relief on the core. #oil