Forex – Dollar Shrugs off Mixed U.S. Inflation as Euro Falls on Growth Worries


© Reuters.

Investing.com – The dollar rose against a basket of major currencies Wednesday, shrugging mixed U.S. inflation data as the euro slipped on fresh signs of stuttering eurozone growth.

The , which measures the greenback’s strength against a trade-weighted basket of six major currencies, rose 0.34% to 97.03.

The Labor Department said on Thursday its was flat for January, after edging up 0.1% in the prior month. But core CPI, which excludes food and energy, rose 2.2% for the year through January, above forecasts for a 2.1% increase.

“The details of the report were mixed, but generally firm on net, with acceleration in the persistent shelter categories and further increases in the medical care services category,” Goldman Sachs (NYSE:) said. “The CPI components relevant for the PCE report were on net firmer than we expected.”

A 0.38% slip in the to $1.1282 also supported dollar strength as in the eurozone undershot economists’ estimates, fueling investor concerns of an accelerated slowdown in the euro area.

fell 0.24% to $1.2861 as U.K. inflation data undershot economists’ forecasts and Prime Minister Theresa May reiterated her government still planned to exit European Union on March 29.

Some had expected the U.K. would request the March deadline be extended to allow May more time to secure changes from the EU to the Irish backstop measure included in the withdrawal deal.

rose 0.41% to Y110.96, while rose 0.04%. The latter pair was supported by rise in oil prices after Saudi Arabia pledged to cut output.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Comments

comments