Forex Today: UK Inflation Hits 7.0%

US PPI data came in higher than expected, showing an annualized increase above 11%, which is an all-time record suggesting strong inflationary pressure.In the Forex market, the US Dollar has begun to sell off firmly after the US Dollar Index was held by key overhead resistance. The US Dollar is now the weakest major currency while the British Pound, the Euro, and Canadian Dollar are clearly the strongest. These price movements are counter to long-term trends.The European Central Bank will be releasing its main refinancing rate and monetary policy report today.Australian employment data came in weaker than expected, showing the unemployment rate rising from 3.9% to 4.0%.The Monetary Authority of Singapore has tightened its monetary policy for the third time in six months, in an effort to dampen rising inflation.Expectations are growing that the People’s Bank of China will cut its interest rate soon, in a divergent policy to most developed economies, which are tightening rates. This has helped boost global stock markets during the Asian session.Gold rose firmly yesterday for the fifth consecutive day.Agricultural commodities mostly rose during yesterday’s session, with cotton and corn reaching new highs.There will be a release of US retail sales data today.Daily new coronavirus cases globally fell last week for the third consecutive week.It is estimated that 64.8% of the world’s population has received at least one dose of a coronavirus vaccination, while approximately 6.4% of the global population is known to have contracted the virus at some stage.Total confirmed new coronavirus cases worldwide stand at over 502.1 million with an average case fatality rate of 1.24%.The rate of new coronavirus infections appears to now be increasing only in Barbados, Bhutan, China, and Taiwan.A hard testing lockdown continues into its third week in Shanghai, China but will begin to be eased in some areas. It is causing some supply chain disruption globally.