Band Gertrude Chavez-Dreyfuss
NEW YORK, September 15 (Reuters) – The dollar slipped against major currencies on Wednesday after weaker-than-expected US inflation data released on Tuesday eased short-term expectations of the Federal Reserve’s reduced asset purchases.
The dollar index = USD last was 92.546, down about 0.1% on Tuesday, when it fell on inflation data but recovered on safe-haven demand as stocks slid on Wall Street.
But the greenback cut its losses after data showing import prices fell unexpectedly in August and a higher than expected reading for the Newith York Fed Economic Survey.
TThose reports offset data showing that US manufacturing output slowed in August, rising 0.2% from a 1.6% increase the month before.
“The reality is that there are no indications other than the obvious: Poor economic indicators mean the recovery from the pandemic has slowed more than Delta expected,” said Juan Perez, FX strategist and trader. at Tempus Inc in Washington.
“The money in the middle of it all will still have room for gains and spikes as gloom plays a role in decreasing risk appetite, but idiosyncratic improvements in the UK as we do. we’ve seen with the CPI, and other regions could eventually start to weaken the dollar more consistently, âhe added.
Data on Wednesday showed Britain’s inflation rate peaked in nearly a decade last month after a record jump that was largely fueled by a rebound in restaurant prices.
The dollar index, a measure of greenback against six major currencies, a exchanged between 92.3 and 92.9 over the past week, as several Fed officials suggested the US central bank may cut its debt purchases by year-end, even after report on the wage bill lower than expected eearlier this month.
While high inflation kept the pressure on policymakers, overnight data showed that the U.S. consumer price index, excluding the volatile components of food and energy , had risen only 0.1% last month.
The two-day Federal Open Market Committee (FOMC) policy meeting next week is expected to provide some insight into the cut and interest rate outlook.
The tapering usually lifts the dollar as it suggests that the Fed is one step closer to tightening monetary policy. It also means that the central bank will buy less debt assets, thereby reducing the number of dollars in circulation and increasing the value of the currency.
In early in the afternoon trade, euro changed little against the dollar at $ 1,1808EUR = EBS.
The dollar fell to a four-week low at 109.14 yen JPY = EBS, and changed hands for the last time at 109.43, down 0.2%.
Meanwhile, the Chinese yuan= EBS> and Australian dollar AUD = D3slipped after Chinese data showed factory and retail sales growth slowed more sharply than expected last month. L1N2QH08P
The yuan extended its decline to up to 6.4433 yuan per dollar. The dollar fell by 0 for the last time.2% to 6.4261 yuan.
The Australian dollar fell to US $ 0.7301, its lowest in more than two weeks after data from China, but recovered trade up 0.1% $ 0.7329.
Price of currency offers at 2:16 p.m. (6:16 p.m. GMT)
US Close previous session
Percentage change for the current year
EUR = EBS
Dollar / Yen
JPY = EBS
Euro / yen
Dollar / Switzerland
CHF = EBS
Pound sterling / dollar
GBP = D3
CAD = D3
Australia / Dollar
AUD = D3
+ $ 0.7339
+ $ 0.7302
Euro / Switzerland
Euro / Pound
New Zealand dollar / Dollar
NZD = D3
+ $ 0.7118
+ $ 0.7074
Dollar / Norway
NOK = D3
Euro / Norway
Dollar / Sweden
Euro / Sweden
Global exchange rates https://tmsnrt.rs/2RBWI5E
(Reporting by Gertrude Chavez-Dreyfuss; Additional reporting by Ritvik Carvalho in London; Editing by Toby Chopra, Chizu Nomiyama, Timothy Heritage and Marguerita Choy)
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