U.S. Dollar Firms Ahead Of Inflation Data
10 Dezember 2024 - 2:16PM
RTTF2
The U.S. dollar climbed against its major counterparts in the
New York session on Tuesday ahead of the release of key inflation
data that could influence the Federal Reserve's future policy.
Reports on U.S. consumer and producer price inflation are due to
be released on Wednesday and Thursday, respectively.
The CPI is expected to increase to 2.7 percent year-over-year,
up from 2.6 percent in October.
The report is significant before the Fed meeting due next
week.
While the Fed is widely expected to lower rates by another 25
basis points next week, the data could impact the outlook for
future rate cuts by the central bank.
Data from the Labor Department showed that the jump by U.S.
labor productivity in the third quarter was unrevised from the
previous estimate.
The report said labor productivity shot up by 2.2 percent in the
third quarter, unrevised from the initial estimate and in line with
economist estimates.
The greenback moved up to a 6-day high of 1.0498 against the
euro, 5-day high of 0.8828 against the franc and near a 2-week high
of 152.17 against the yen, off its early lows of 1.0567, 0.8771 and
150.89, respectively. The next possible resistance for the currency
is seen around 1.03 against the euro, 0.91 against the franc and
154.00 against the yen.
The greenback rose to more than a 4-month high of 0.6365 against
the aussie, 1-year high of 0.5791 against the kiwi and a 4-1/2-year
high of 1.4195 against the loonie, from its early lows of 0.6442,
0.5867 and 1.4157, respectively. The currency is poised to
challenge resistance around 0.62 against the aussie, 0.56 against
the kiwi and 1.43 against the loonie.
The greenback edged up to 1.2723 against the pound. If the
greenback rises further, it is likely to test resistance around the
1.24 region.
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