US inflation expectations rise, dollar dips.

The dollar fell as investors awaited inflation data to determine whether price pressures are easing and what it means for further Federal Reserve interest rate hikes. The Fed is expected to hike rates by an additional 25 basis points at its May 2-3 meeting, before pausing in June. Markets are also pricing for the Fed to cut rates by year-end on an expected recession, though Fed officials have stressed the need to keep rates high to bring down inflation. The euro gained 0.52% to $1.0918, likely boosted by a rise in European bond yields.