Euro, stocks rally after U.S. inflation data

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U.S. government data showed core consumer inflation, which excludes volatile food and energy costs, rose at an annual rate of 6.3% in October compared with forecasts for an increase of 6.5%.

The euro rose as much as 0.72% to a high of $1.0085, compared with $0.9955 prior to the data. The dollar fell by as much as 1.6% against the yen to 144.05 from 146.11 previously.

German 10-year bond yields dropped, falling 12 basis points on the day to 2.06% compared with 2.162% before the data. European stocks rallied, with the STOXX 600 rising 2% to its highest since Sept. 13, compared with a 0.3% gain prior to the numbers.