Stocks higher, yields lower and oil lower leading to a lower dollar is the formula today

The dollar is under pressure as lower Treasury yields, weaker oil prices, and a relief-driven equity rally improve risk sentiment. EUR/USD and GBP/USD are leading gains, while USD/JPY is little changed. The report highlights that crude falling below $90 and easing Middle East tension are helping temper inflation fears ahead of Wednesday’s U.S. CPI release, which is the week’s key macro catalyst. Markets expect headline CPI to rise 0.5% m/m to 4.2% y/y and core CPI to rise 0.3% m/m to 2.9% y/y, keeping Fed rate expectations in focus. The article also notes a busy calendar including U.S. trade data, existing home sales, BOC and ECB decisions, and US PPI. Beyond FX, gold and silver are modestly firmer, Bitcoin is weaker, and stocks are higher. A major additional market event is the upcoming SpaceX IPO, expected to price June 11 and list June 12, but the main near-term market driver remains inflation data and its implications for the Fed and USD direction.