03:45 PM EDT, 03/14/2024 (MT Newswires) -- The US dollar advanced against most major currencies Thursday after a hotter-than-expected reading for producer prices in February lifted interest rates and pushed back the timing of a potential pivot in Fed policy.

PPI rose last month at a year-on-year rate of 1.6%, the largest annual increase since September, revealing a reacceleration in input prices that will likely discourage policymakers from declaring victory in their effort to tame inflation.

Market-based odds for a rate cut at next week's FOMC meeting are now effectively zero from near 100% at the beginning of the year, with three 25-basis points cuts discounted for all of 2024, down from almost seven cuts in January, according to the CME FedWatch Tool.