The dollar index fell to a 3.5-week low and finished down 0.46% on Wednesday after US June producer prices rose less than expected, a dovish factor for Federal Reserve policy. The June PPI final demand eased to 5.5% year-over-year from 6.0%, weaker than expectations of 6.2%, while the core PPI rose 4.7%, below the 5.1% forecast. Swaps markets now price only a 10% chance of a 25-basis-point rate hike at the July 28-29 FOMC meeting, down from 43% on Monday. The euro rallied to a 3.5-week high, gaining 0.47% against the dollar, while the yen edged up 0.12% amid lower Treasury yields and carryover support from Japanese government discussions on adding bonds to a tax-free investment program. Gold and silver settled lower, with silver hitting a 2.5-week low, pressured by higher crude oil prices and signs of slower Chinese growth after China's second-quarter GDP rose 4.3% year-over-year, missing the 4.4% estimate.