U.S. Dollar Drops After Soft PCE Inflation Data
20 Dezember 2024 - 3:06PM
RTTF2
The U.S. dollar declined against its major counterparts in the
New York session on Friday, as a slowdown in PCE inflation for
November bolstered the prospect of slower pace of rate cuts by the
Federal Reserve next year.
Data from the Commerce Department showed that the personal
consumption expenditures (PCE) price index inched up by 0.1 percent
in November after rising by 0.2 percent in October. Economists had
expected prices to increase by another 0.2 percent.
The annual rate of growth by the PCE price index accelerated to
2.4 percent in November from 2.3 percent in October, slightly
slower than 2.5 percent jump economists had expected.
Excluding food and energy prices, the core PCE price index also
edged up by 0.1 percent in November after climbing by 0.3 percent
in October. Economists had expected core prices to rise by 0.2
percent.
The annual rate of growth by the core PCE price index in
November came in at 2.8 percent, unchanged from October, while
economists had expected an acceleration to 2.9 percent.
The inflation readings, which are preferred by the Federal
Reserve, were included in a report on personal income and
spending.
The data bolstered expectations of two rate reductions in
2025.
The greenback fell to 2-day lows of 0.8922 against the franc and
1.0435 against the euro, from an early high of 0.8992 and a 4-week
high of 1.0342, respectively. The currency is seen finding support
around 0.88 against the franc and 1.06 against the euro.
The greenback declined to 2-day lows of 1.4342 against the
loonie, 0.6269 against the aussie and 0.5668 against the kiwi, off
its early highs of 1.4435, 0.6214 and 0.5613, respectively. The
next possible support for the greenback is seen around 1.38 against
the loonie, 0.66 against the aussie and 0.60 against the kiwi.
The greenback dropped to 1.2591 against the pound and 156.09
against the yen, from an early 7-1/2-month high of 1.2474 and more
than a 5-month high of 157.92, respectively. The currency is likely
to locate support around 1.28 against the pound and 149.5 against
the yen.
US Dollar vs CHF (FX:USDCHF)
Forex Chart
Von Nov 2024 bis Dez 2024
US Dollar vs CHF (FX:USDCHF)
Forex Chart
Von Dez 2023 bis Dez 2024
