Softer CPI pushed Fed hike odds down to roughly 40%, but longer-term pressure persists. The government sold 10-year notes at 4.683%, the highest since the financial crisis, as inflation above target and wider budget deficits keep borrowing costs high.

The Dollar Index held near 99.9 after Wednesday’s swings, with July PPI next in focus. US CPI cooled to 3.4%, cutting Fed hike odds to around 40% from 50%. Deadlocked US-Iran talks kept the Hormuz outlook uncertain, while the yen’s approach toward 160 raised fresh intervention concerns.

Dow and S&P 500 futures were little changed, while Nasdaq 100 futures slipped after mixed tech results. 

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