The dollar crept higher against the yen and traded at its highset against the euro in nearly two weeks on Tuesday as currency traders digested the latest U.S. inflation news. The consumer price index topped forecasts with a 0.5% rise last month, but the closely tracked core rate, which strips out volatile food and energy prices, came in below the target forecast with a 0.1% gain. Despite the mild core reading, the data aren't seen swaying the Federal Reserve from projected interest-rate hikes over coming months. Higher U.S. rates tend to draw foreign investors to dollar-denominated markets. The dollar was at 109.39 yen, up from the 109.33 seen just ahead of the release. That leaves the greenback up 0.1% against the yen from Monday. The euro was last changing hands at $1.2308, down from $1.2317 just ahead of the report. The euro is down 0.5% against the dollar on the day. The British pound traded down 0.4% against its U.S. counterpart as Tuesday progressed. The pound was last fetching $1.8044. The pound gained earlier Tuesday when U.K. inflation figures looked strong enough to possibly keep interest rates there are current levels after the Bank of England cut rates in earlier this month. U.K. CPI rose 0.1% in July from June, and 2.3% year-on-year, on rising fuel and transport services prices, the National Statistics Office said Tuesday. Banking services and furniture prices also had an upward effect on CPI. The figures brought CPI above the Bank of England's 2% target, and also were above consensus estimates of a 0.2% monthly decline and a 2.1% year-on-year rise.