Dollar Steady Before CPI; Yen Lags on BOJ Timing
The dollar was little changed before Friday’s release of delayed US inflation data. The yen trailed peers in the Group of 10 while the Australian dollar and Norwegian krone outperformed amid an oil-price spike.
The oil surge, sparked by the US announcing sanctions on Russia’s biggest oil companies, rekindled concern about impacts on inflation that can hinder the Federal Reserve’s ability to cut rates more aggressively
The Bloomberg Dollar Spot Index was steady
“While we look for a broad continuation for much of the USD weakness that we have already seen this year, we still see USD as currently modestly overvalued,” BofA strategists John Shin, Michalis Rousakis and Alex Cohen wrote in a note
“With France concerns receding, we maintain a bullish EUR bias vs. JPY, CHF, USD, NZD, and CAD,” strategists wrote
USD/JPY rose 0.4% to 152.55
BOJ watchers pushed back their forecast for the next interest-rate hike in a dramatic shift from last month, with only a few expecting a move next week, according to the latest Bloomberg survey
AUD/USD rose 0.4% to 0.6514
USD/NOK fell 0.4% to 9.9780, two-week low
USD/CAD declined 0.1% to 1.3987
Canadian retail sales increased modestly in the third quarter as shoppers continued to flock to car dealerships amid US tariffs on the auto sector
Overall receipts for retailers fell by 0.7% in September, according to an advance estimate from Statistics Canada on Thursday. The drop followed a 1% rise in August
EUR/USD climbed 0.1% to 1.1617; the EU adopted a new package of sanctions targeting Russia’s energy infrastructure
USD/CHF fell 0.1% to 0.7952
The summary of the Swiss National Bank’s Sept. 25 meeting discussion released on Thursday underwhelmed some strategists for its scant detail on the market.
Source : Bloomberg.com
