ING analyst Chris Turner said that despite US inflation on Wednesday exceeding expectations, mounting concerns about AI-sector debt burdens pushed the dollar and US Treasury yields to give back earlier gains. Turner said the dollar did not rally as a safe haven and weakened as markets scaled back expectations for further Fed hikes. Narrowing Swiss interest-rate differentials made the Swiss franc the main beneficiary. He added investors will closely watch the debt positions of major AI bond issue

ING analyst Chris Turner said that despite US inflation on Wednesday exceeding expectations, mounting concerns about AI-sector debt burdens pushed the dollar and US Treasury yields to give back earlier gains. Turner said the dollar did not rally as a safe haven and weakened as markets scaled back expectations for further Fed hikes. Narrowing Swiss interest-rate differentials made the Swiss franc the main beneficiary. He added investors will closely watch the debt positions of major AI bond issuers; any further selloff could put additional pressure on the dollar.