NEW YORK: The dollar plummeted to its lowest in more than a year on Wednesday after data showed the rise in US consumer prices eased in June, suggesting the Federal Reserve may have to raise interest rates only one more time this year.

The dollar index dropped as low as 100.58, the lowest since April 2022, and was last down nearly 1% at 100.58, on track for its largest daily percentage loss since early February. The greenback also hit its lowest against the Swiss franc since early 2015 after the inflation report. It was last down 1.3% at 0.8676 francs, having fallen to a session low of 0.8660 earlier, its weakest since the Swiss National Bank removed the peg from the Swiss currency in January 2015.

Core US consumer prices rose just 0.2% in June, compared with forecasts for a gain of 0.3%. On an annual basis, US CPI advanced 4.8%, lower than market expectations for a 5% increase. That was also the smallest annual increase in more than two years.