Mktrep, Rep, Cen, Frx, Fın, Infl, Int, Mce, Stx, Topcmb, Topnws, Econ, Mtgfx

Mktrep, Rep

Dollar skids as soft U.S. inflation weighs; Fed meeting looms next week

Dollar skids as soft U.S. inflation weighs; Fed meeting looms next week

9/16/2021 4:35:00 AM

Dollar skids as soft U.S. inflation weighs; Fed meeting looms next week

The dollar slumped against major currencies on Wednesday after softer-than-expected U.S. inflation data released on Tuesday eased short-term expectations about tapering of asset purchases from the Federal Reserve.

"The reality is that there is no guidance other than the obvious: poor economic indicators mean the recovery from the pandemic has slowed down more than expected by Delta," said Juan Perez, FX strategist and trader at Tempus Inc in Washington.

Hear Sounds From Mars Captured by NASA’s Perseverance Rover Scuba diver finds 900-year-old Crusader sword off the coast of Israel Nearly 100 women sworn in as judges in Egypt judicial body

"The buck in the midst of all this will still have room for gains and spikes as doom and gloom play a role in diminished risk-appetite, but idiosyncratic improvements in the UK as we saw with CPI, and other regions could eventually start weakening the dollar more consistently."

Wednesday's data showed Britain's inflation rate hit its highest in almost a decade last month after a record jump that was largely fuelled by a rebound in restaurant moreThe dollar index, a measure of the greenback's value against six major currencies, has traded between 92.3 and 92.9 over the past week as several Fed officials suggested the U.S. central bank could reduce buying debt securities by the end of the year, even after a weaker-than-expected payrolls report earlier this month.

While elevated inflation has kept pressure on policymakers, data overnight showed the U.S. consumer price index, excluding the volatile food and energy components, edged up just 0.1% last moreThe Federal Open Market Committee's (FOMC) two-day policy meeting next week should provide some clarity on the outlook for tapering and interest rates.

Tapering typically lifts the dollar as it suggests the Fed is one step closer to tighter monetary policy. It also means the central bank will be buying fewer debt assets, in effect reducing the number of dollars in circulation and increasing the currency's value.

"We think a combination of modest economic revisions (by the Fed) and steady messaging on the interest rate outlook should be supportive for the U.S. dollar, given that many other central banks are likely to lag the Fed's policy normalization process by a substantial margin," Scotiabank FX analysts wrote in a research note.

In late afternoon trading, the euro was up 0.1% against the dollar at $1.1813 .The dollar fell to a four-week low of 109.14 yen , and last changed hands at 109.38, down 0.3%.Meanwhile, the yuan and Australian dollar slid earlier after Chinese data showed factory and retail sales growth cooled more sharply than expected last month. L1N2QH08P

MeidasTouch, Michael Rapaport Team on Political Satire Film ‘The Supporters’ WHO-led program aims to buy antiviral Covid-19 pills for $10 Angelina Jolie Lent Her 2014 Oscars Dress to Her Daughter Zahara

read moreThe dollar was last down 0.1% against the Chinese currency at 6.4275 yuan.The Aussie dollar sank as low as US$0.7301, its lowest in more than two weeks following China's data, but recovered to trade up 0.1% US$0.7331.========================================================

Currency bid prices at 3:50PM (1950 GMT)Reporting by Gertrude Chavez-Dreyfuss; Editing by Chizu Nomiyama, Timothy Heritage, Marguerita Choy and Philippa FletcherOur Standards:More from ReutersSign up for our newsletterSubscribe for our daily curated newsletter to receive the latest exclusive Reuters coverage delivered to your inbox.

Read more: Reuters Top News »

Noodle the 13-year-old pug goes viral for his adorable daily ritual - CNN Video

A 13-year-old adopted pug has over 1.7 million followers on TikTok for his hilarious forecasts of the future. CNN's Jeanne Moos reports.

This is exactly why I only carry twenties. Gold coins bought in the 90’s are going to be more fun under Biden 🤑 How high will inflation go? 🤭 wow

Democratic Tax Plan Would Hit Million-Dollar Households Hardest, Analysis ShowsHouseholds making at least $1 million in income would be hit the hardest by the House Democrats' tax plan, a new analysis shows ...and that's a problem, how?!!! LOVE EACHOTHER! SHARE THE LOVE! Fuck yeah, let's do it!

Factbox: How Macau is revising its multi-billion dollar gaming industryMacau's government begins a 45-day public consultation on Wednesday to gauge public opinion on changes to its gaming law ahead of the rebidding process of its multi-billion dollar casinos next year. Amazing how a tiny spot has turned into a gaming industry hotspot!

Warren urges Fed to break up ‘irredeemable’ Wells Fargo, says customers still at risk'Wells Fargo is an irredeemable repeat offender; the Fed must act,' Sen. Elizabeth Warren said Tuesday in a letter to Fed Chairman Jerome Powell. good luck She’s right. But, why on earth do people still bank with Wells Fargo? Too Big To Breakup (TBTB)

Fed-Up Women Swarm Kansas Frat House After Alleged Rapevia Twitter/mghnzillaMore than a thousand protesters demonstrated outside of a University of Kansas fraternity house on Monday night in an outcry against sexual assault that former students say has been “regularly ignored and dismissed.”The “No Means No Peaceful Protest” outside of the Phi Kappa Psi Greek house was fueled by allegations that a woman was drugged and raped at the frat house on Saturday night by a new undergraduate member. Local police in Lawrence told KMBC that they were investig

Sen. Warren Urges Fed To Break Up Wells Fargo For 'Abusive And Unlawful' Practices'Wells Fargo is an irredeemable repeat offender,' the senator wrote in a letter as she warned the bank's practices cost consumers 'hundreds of millions' of dollars.

Trump shattered tradition on Fed chair. Some Dems want Biden to do the same.If Biden picks Powell, it will mean only one Democrat in more than three decades will have been elevated to the top Fed post. It’s not like we’ve been putting progressives in the White House. Pres Biden would be nuts not to leave Powell at the fed. Powell's predictable, rational & yet he acted boldly when the pandemic dropped hard. A new fed just means that if things go wrong Biden can be more easily blamed b/c HIS person was in leadership when the problems dropped. Keep them away from money, you see what it does.